Filed in Divorce, on May 18, 2018
With the President’s new tax law, some long appreciated benefits for maintenance paying spouses disappear in 2019. One of these benefits (or detriments, if you are the payee) is the deduction or inclusion of maintenance payments. For many years, maintenance payments have been deducted from the payor’s income and included in the payee’s income for tax purposes. However, this benefit (or detriment) disappears as of 2019. The Illinois Legislature is reviewing the maintenance statute to give maintenance payers some kind of tax break in response to the new law. However, due to the partisan politics in Springfield, no one knows when or if such a tax break will be considered and/or result in legislation.