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Irs Amended Tax Return

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Irs Amended Tax Return

Irs amended tax return 10. Irs amended tax return   Education Savings Bond Program Table of Contents Introduction Who Can Cash In Bonds Tax FreeAdjusted qualified education expenses. Irs amended tax return Eligible educational institution. Irs amended tax return Dependent for whom you claim an exemption. Irs amended tax return MAGI when using Form 1040A. Irs amended tax return MAGI when using Form 1040. Irs amended tax return Figuring the Tax-Free AmountEffect of the Amount of Your Income on the Amount of Your Exclusion Claiming the Exclusion Introduction Generally, you must pay tax on the interest earned on U. Irs amended tax return S. Irs amended tax return savings bonds. Irs amended tax return If you do not include the interest in income in the years it is earned, you must include it in your income in the year in which you cash in the bonds. Irs amended tax return However, when you cash in certain savings bonds under an education savings bond program, you may be able to exclude the interest from income. Irs amended tax return Who Can Cash In Bonds Tax Free You may be able to cash in qualified U. Irs amended tax return S. Irs amended tax return savings bonds without having to include in your income some or all of the interest earned on the bonds if you meet the following conditions. Irs amended tax return You pay qualified education expenses for yourself, your spouse, or a dependent for whom you claim an exemption on your return. Irs amended tax return Your modified adjusted gross income (MAGI) is less than the amount specified for your filing status. Irs amended tax return Your filing status is not married filing separately. Irs amended tax return Qualified U. Irs amended tax return S. Irs amended tax return savings bonds. Irs amended tax return   A qualified U. Irs amended tax return S. Irs amended tax return savings bond is a series EE bond issued after 1989 or a series I bond. Irs amended tax return The bond must be issued either in your name (as the sole owner) or in the name of both you and your spouse (as co-owners). Irs amended tax return   The owner must be at least 24 years old before the bond's issue date. Irs amended tax return The issue date is printed on the front of the savings bond. Irs amended tax return    The issue date is not necessarily the date of purchase—it will be the first day of the month in which the bond is purchased (or posted, if bought electronically). Irs amended tax return Qualified education expenses. Irs amended tax return   These include the following items you pay for either yourself, your spouse, or a dependent for whom you claim an exemption. Irs amended tax return Tuition and fees required to enroll at or attend an eligible educational institution. Irs amended tax return Qualified education expenses do not include expenses for room and board or for courses involving sports, games, or hobbies that are not part of a degree or certificate granting program. Irs amended tax return Contributions to a qualified tuition program (QTP) (see How Much Can You Contribute in chapter 8, Qualified Tuition Program). Irs amended tax return Contributions to a Coverdell education savings account (ESA) (see Contributions in chapter 7, Coverdell Education Savings Account). Irs amended tax return Adjusted qualified education expenses. Irs amended tax return   You must reduce your qualified education expenses by all of the following tax-free benefits. Irs amended tax return Tax-free part of scholarships and fellowships (see Tax-Free Scholarships and Fellowships in chapter 1, Scholarships, Fellowships, Grants, and Tuition Reductions). Irs amended tax return Expenses used to figure the tax-free portion of distributions from a Coverdell ESA (see Qualified Education Expenses in chapter 7, Coverdell Education Savings Account). Irs amended tax return Expenses used to figure the tax-free portion of distributions from a QTP (see Qualified education expenses in chapter 8, Qualified Tuition Program). Irs amended tax return Any tax-free payments (other than gifts or inheritances) received as educational assistance, such as: Veterans' educational assistance benefits (see Veterans' Benefits in chapter 1, Scholarships, Fellowships, Grants, and Tuition Reductions), Qualified tuition reductions (see Qualified Tuition Reduction in chapter 1, Scholarships, Fellowships, Grants, and Tuition Reductions), or Employer-provided educational assistance (see chapter 11, Employer-Provided Educational Assistance ). Irs amended tax return Any expenses used in figuring the American opportunity and lifetime learning credits. Irs amended tax return See What Expenses Qualify in chapter 2, American Opportunity Credit, and What Expenses Qualify in chapter 3, Lifetime Learning Credit, for more information. Irs amended tax return Eligible educational institution. Irs amended tax return   An eligible educational institution is any college, university, vocational school, or other postsecondary educational institution eligible to participate in a student aid program administered by the U. Irs amended tax return S. Irs amended tax return Department of Education. Irs amended tax return It includes virtually all accredited public, nonprofit, and proprietary (privately owned profit-making) postsecondary institutions. Irs amended tax return The educational institution should be able to tell you if it is an eligible educational institution. Irs amended tax return   Certain educational institutions located outside the United States also participate in the U. Irs amended tax return S. Irs amended tax return Department of Education's Federal Student Aid (FSA) programs. Irs amended tax return Dependent for whom you claim an exemption. Irs amended tax return   You claim an exemption for a person if you list his or her name and other required information on Form 1040 (or Form 1040A), line 6c. Irs amended tax return Modified adjusted gross income (MAGI). Irs amended tax return   For most taxpayers, MAGI is adjusted gross income (AGI) as figured on their federal income tax return without taking into account this interest exclusion. Irs amended tax return However, as discussed below, there may be other modifications. Irs amended tax return MAGI when using Form 1040A. Irs amended tax return   If you file Form 1040A, your MAGI is the AGI on line 22 of that form figured without taking into account any savings bond interest exclusion and modified by adding back any amount on line 18 (student loan interest deduction) and line 19 (tuition and fees deduction). Irs amended tax return MAGI when using Form 1040. Irs amended tax return   If you file Form 1040, your MAGI is the AGI on line 38 of that form figured without taking into account any savings bond interest exclusion and modified by adding back any: Foreign earned income exclusion, Foreign housing exclusion, Foreign housing deduction, Exclusion of income by bona fide residents of American Samoa, Exclusion of income by bona fide residents of Puerto Rico, Exclusion for adoption benefits received under an employer's adoption assistance program, Deduction for student loan interest, Deduction for tuition and fees, and Deduction for domestic production activities. Irs amended tax return    Use the worksheet in the instructions for line 9 of Form 8815 to figure your MAGI. Irs amended tax return If you claim any of the exclusion or deduction items (1)–(6) listed above, add the amount of the exclusion or deduction to the amount on line 5 of the worksheet. Irs amended tax return Do not add in the deduction for (7) student loan interest, and (8) tuition and fees, or (9) domestic production activities because line 4 of the worksheet already includes these amounts. Irs amended tax return Enter the total on Form 8815, line 9, as your modified adjusted gross income (MAGI). Irs amended tax return    Because the deduction for interest expenses attributable to royalties and other investments is limited to your net investment income, you cannot figure the deduction until you have figured this interest exclusion. Irs amended tax return Therefore, if you had interest expenses attributable to royalties and deductible on Schedule E (Form 1040), Supplemental Income and Loss, you must make a special computation of your deductible interest without regard to this exclusion to figure the net royalty income included in your MAGI. Irs amended tax return See Royalties included in MAGI under Education Savings Bond Program in Publication 550, chapter 1. Irs amended tax return Figuring the Tax-Free Amount If the total you receive when you cash in the bonds is not more than the adjusted qualified education expenses for the year, all of the interest on the bonds may be tax free. Irs amended tax return However, if the total you receive when you cash in the bonds is more than the adjusted expenses, only part of the interest may be tax free. Irs amended tax return To determine the tax-free amount, multiply the interest part of the proceeds by a fraction. Irs amended tax return The numerator (top part) of the fraction is the adjusted qualified education expenses (AQEE) you paid during the year. Irs amended tax return The denominator (bottom part) of the fraction is the total proceeds you received during the year. Irs amended tax return Example. Irs amended tax return In February 2013, Mark and Joan Washington, a married couple, cashed a qualified series EE U. Irs amended tax return S. Irs amended tax return savings bond. Irs amended tax return They received proceeds of $9,000, representing principal of $6,000 and interest of $3,000. Irs amended tax return In 2013, they paid $7,650 of their daughter's college tuition. Irs amended tax return They are not claiming an American opportunity or lifetime learning credit for those expenses, and their daughter does not have any tax-free educational assistance. Irs amended tax return Their MAGI for 2013 was $80,000. Irs amended tax return   $3,000 interest × $7,650 AQEE  $9,000 proceeds = $2,550 tax-free interest   They can exclude $2,550 of interest in 2013. Irs amended tax return They must pay tax on the remaining $450 ($3,000 − $2,550) interest. Irs amended tax return Effect of the Amount of Your Income on the Amount of Your Exclusion The amount of your interest exclusion is gradually reduced (phased out) based on your MAGI and filing status. Irs amended tax return Claiming the Exclusion Use Form 8815 to figure your education savings bond interest exclusion. Irs amended tax return Enter your exclusion on line 3 of Schedule B (Form 1040A or 1040), Interest and Ordinary Dividends. Irs amended tax return Attach Form 8815 to your tax return. Irs amended tax return Prev  Up  Next   Home   More Online Publications
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The Irs Amended Tax Return

Irs amended tax return 18. Irs amended tax return   Alimony Table of Contents IntroductionSpouse or former spouse. Irs amended tax return Divorce or separation instrument. Irs amended tax return Useful Items - You may want to see: General RulesMortgage payments. Irs amended tax return Taxes and insurance. Irs amended tax return Other payments to a third party. Irs amended tax return Instruments Executed After 1984Payments to a third party. Irs amended tax return Exception. Irs amended tax return Substitute payments. Irs amended tax return Specifically designated as child support. Irs amended tax return Contingency relating to your child. Irs amended tax return Clearly associated with a contingency. Irs amended tax return How To Deduct Alimony Paid How To Report Alimony Received Recapture Rule Introduction This chapter discusses the rules that apply if you pay or receive alimony. Irs amended tax return It covers the following topics. Irs amended tax return What payments are alimony. Irs amended tax return What payments are not alimony, such as child support. Irs amended tax return How to deduct alimony you paid. Irs amended tax return How to report alimony you received as income. Irs amended tax return Whether you must recapture the tax benefits of alimony. Irs amended tax return Recapture means adding back in your income all or part of a deduction you took in a prior year. Irs amended tax return Alimony is a payment to or for a spouse or former spouse under a divorce or separation instrument. Irs amended tax return It does not include voluntary payments that are not made under a divorce or separation instrument. Irs amended tax return Alimony is deductible by the payer and must be included in the spouse's or former spouse's income. Irs amended tax return Although this chapter is generally written for the payer of the alimony, the recipient can use the information to determine whether an amount received is alimony. Irs amended tax return To be alimony, a payment must meet certain requirements. Irs amended tax return Different requirements generally apply to payments under instruments executed after 1984 and to payments under instruments executed before 1985. Irs amended tax return This chapter discusses the rules for payments under instruments executed after 1984. Irs amended tax return If you need the rules for payments under pre-1985 instruments, get and keep a copy of the 2004 version of Publication 504. Irs amended tax return That was the last year the information on pre-1985 instruments was included in Publication 504. Irs amended tax return Use Table 18-1 in this chapter as a guide to determine whether certain payments are considered alimony. Irs amended tax return Definitions. Irs amended tax return   The following definitions apply throughout this chapter. Irs amended tax return Spouse or former spouse. Irs amended tax return   Unless otherwise stated, the term “spouse” includes former spouse. Irs amended tax return Divorce or separation instrument. Irs amended tax return   The term “divorce or separation instrument” means: A decree of divorce or separate maintenance or a written instrument incident to that decree, A written separation agreement, or A decree or any type of court order requiring a spouse to make payments for the support or maintenance of the other spouse. Irs amended tax return This includes a temporary decree, an interlocutory (not final) decree, and a decree of alimony pendente lite (while awaiting action on the final decree or agreement). Irs amended tax return Useful Items - You may want to see: Publication 504 Divorced or Separated Individuals General Rules The following rules apply to alimony regardless of when the divorce or separation instrument was executed. Irs amended tax return Payments not alimony. Irs amended tax return   Not all payments under a divorce or separation instrument are alimony. Irs amended tax return Alimony does not include: Child support, Noncash property settlements, Payments that are your spouse's part of community income, as explained under Community Property in Publication 504, Payments to keep up the payer's property, or Use of the payer's property. Irs amended tax return Payments to a third party. Irs amended tax return   Cash payments, checks, or money orders to a third party on behalf of your spouse under the terms of your divorce or separation instrument can be alimony, if they otherwise qualify. Irs amended tax return These include payments for your spouse's medical expenses, housing costs (rent, utilities, etc. Irs amended tax return ), taxes, tuition, etc. Irs amended tax return The payments are treated as received by your spouse and then paid to the third party. Irs amended tax return Life insurance premiums. Irs amended tax return   Alimony includes premiums you must pay under your divorce or separation instrument for insurance on your life to the extent your spouse owns the policy. Irs amended tax return Payments for jointly-owned home. Irs amended tax return   If your divorce or separation instrument states that you must pay expenses for a home owned by you and your spouse, some of your payments may be alimony. Irs amended tax return Mortgage payments. Irs amended tax return   If you must pay all the mortgage payments (principal and interest) on a jointly-owned home, and they otherwise qualify as alimony, you can deduct one-half of the total payments as alimony. Irs amended tax return If you itemize deductions and the home is a qualified home, you can claim one-half of the interest in figuring your deductible interest. Irs amended tax return Your spouse must report one-half of the payments as alimony received. Irs amended tax return If your spouse itemizes deductions and the home is a qualified home, he or she can claim one-half of the interest on the mortgage in figuring deductible interest. Irs amended tax return Taxes and insurance. Irs amended tax return   If you must pay all the real estate taxes or insurance on a home held as tenants in common, you can deduct one-half of these payments as alimony. Irs amended tax return Your spouse must report one-half of these payments as alimony received. Irs amended tax return If you and your spouse itemize deductions, you can each claim one-half of the real estate taxes and none of the home insurance. Irs amended tax return    If your home is held as tenants by the entirety or joint tenants, none of your payments for taxes or insurance are alimony. Irs amended tax return But if you itemize deductions, you can claim all of the real estate taxes and none of the home insurance. Irs amended tax return Other payments to a third party. Irs amended tax return   If you made other third-party payments, see Publication 504 to see whether any part of the payments qualifies as alimony. Irs amended tax return Instruments Executed After 1984 The following rules for alimony apply to payments under divorce or separation instruments executed after 1984. Irs amended tax return Exception for instruments executed before 1985. Irs amended tax return   There are two situations where the rules for instruments executed after 1984 apply to instruments executed before 1985. Irs amended tax return A divorce or separation instrument executed before 1985 and then modified after 1984 to specify that the after-1984 rules will apply. Irs amended tax return A temporary divorce or separation instrument executed before 1985 and incorporated into, or adopted by, a final decree executed after 1984 that: Changes the amount or period of payment, or Adds or deletes any contingency or condition. Irs amended tax return   For the rules for alimony payments under pre-1985 instruments not meeting these exceptions, get the 2004 version of Publication 504 at www. Irs amended tax return irs. Irs amended tax return gov/pub504. Irs amended tax return Example 1. Irs amended tax return In November 1984, you and your former spouse executed a written separation agreement. Irs amended tax return In February 1985, a decree of divorce was substituted for the written separation agreement. Irs amended tax return The decree of divorce did not change the terms for the alimony you pay your former spouse. Irs amended tax return The decree of divorce is treated as executed before 1985. Irs amended tax return Alimony payments under this decree are not subject to the rules for payments under instruments executed after 1984. Irs amended tax return Example 2. Irs amended tax return Assume the same facts as in Example 1 except that the decree of divorce changed the amount of the alimony. Irs amended tax return In this example, the decree of divorce is not treated as executed before 1985. Irs amended tax return The alimony payments are subject to the rules for payments under instruments executed after 1984. Irs amended tax return Alimony requirements. Irs amended tax return   A payment to or for a spouse under a divorce or separation instrument is alimony if the spouses do not file a joint return with each other and all the following requirements are met. Irs amended tax return The payment is in cash. Irs amended tax return The instrument does not designate the payment as not alimony. Irs amended tax return Spouses legally separated under a decree of divorce or separate maintenance are not members of the same household. Irs amended tax return There is no liability to make any payment (in cash or property) after the death of the recipient spouse. Irs amended tax return The payment is not treated as child support. Irs amended tax return Each of these requirements is discussed below. Irs amended tax return Cash payment requirement. Irs amended tax return   Only cash payments, including checks and money orders, qualify as alimony. Irs amended tax return The following do not qualify as alimony. Irs amended tax return Transfers of services or property (including a debt instrument of a third party or an annuity contract). Irs amended tax return Execution of a debt instrument by the payer. Irs amended tax return The use of the payer's property. Irs amended tax return Payments to a third party. Irs amended tax return   Cash payments to a third party under the terms of your divorce or separation instrument can qualify as cash payments to your spouse. Irs amended tax return See Payments to a third party under General Rules, earlier. Irs amended tax return   Also, cash payments made to a third party at the written request of your spouse may qualify as alimony if all the following requirements are met. Irs amended tax return The payments are in lieu of payments of alimony directly to your spouse. Irs amended tax return The written request states that both spouses intend the payments to be treated as alimony. Irs amended tax return You receive the written request from your spouse before you file your return for the year you made the payments. Irs amended tax return Payments designated as not alimony. Irs amended tax return   You and your spouse can designate that otherwise qualifying payments are not alimony. Irs amended tax return You do this by including a provision in your divorce or separation instrument that states the payments are not deductible as alimony by you and are excludable from your spouse's income. Irs amended tax return For this purpose, any instrument (written statement) signed by both of you that makes this designation and that refers to a previous written separation agreement is treated as a written separation agreement (and therefore a divorce or separation instrument). Irs amended tax return If you are subject to temporary support orders, the designation must be made in the original or a later temporary support order. Irs amended tax return   Your spouse can exclude the payments from income only if he or she attaches a copy of the instrument designating them as not alimony to his or her return. Irs amended tax return The copy must be attached each year the designation applies. Irs amended tax return Spouses cannot be members of the same household. Irs amended tax return    Payments to your spouse while you are members of the same household are not alimony if you are legally separated under a decree of divorce or separate maintenance. Irs amended tax return A home you formerly shared is considered one household, even if you physically separate yourselves in the home. Irs amended tax return   You are not treated as members of the same household if one of you is preparing to leave the household and does leave no later than 1 month after the date of the payment. Irs amended tax return Exception. Irs amended tax return   If you are not legally separated under a decree of divorce or separate maintenance, a payment under a written separation agreement, support decree, or other court order may qualify as alimony even if you are members of the same household when the payment is made. Irs amended tax return Table 18-1. Irs amended tax return Alimony Requirements (Instruments Executed After 1984) Payments ARE alimony if all of the following are true: Payments are NOT alimony if any of the following are true: Payments are required by a divorce or separation instrument. Irs amended tax return Payments are not required by a divorce or separation instrument. Irs amended tax return Payer and recipient spouse do not file a joint return with each other. Irs amended tax return Payer and recipient spouse file a joint return with each other. Irs amended tax return Payment is in cash (including checks or money orders). Irs amended tax return Payment is: Not in cash, A noncash property settlement, Spouse's part of community income, or To keep up the payer's property. Irs amended tax return Payment is not designated in the instrument as not alimony. Irs amended tax return Payment is designated in the instrument as not alimony. Irs amended tax return Spouses legally separated under a decree of divorce or separate maintenance are not members of the same household. Irs amended tax return Spouses legally separated under a decree of divorce or separate maintenance are members of the same household. Irs amended tax return Payments are not required after death of the recipient spouse. Irs amended tax return Payments are required after death of the recipient spouse. Irs amended tax return Payment is not treated as child support. Irs amended tax return Payment is treated as child support. Irs amended tax return These payments are deductible by the payer and includible in income by the recipient. Irs amended tax return These payments are neither deductible by the payer nor includible in income by the recipient. Irs amended tax return Liability for payments after death of recipient spouse. Irs amended tax return   If any part of payments you make must continue to be made for any period after your spouse's death, that part of your payments is not alimony, whether made before or after the death. Irs amended tax return If all of the payments would continue, then none of the payments made before or after the death are alimony. Irs amended tax return   The divorce or separation instrument does not have to expressly state that the payments cease upon the death of your spouse if, for example, the liability for continued payments would end under state law. Irs amended tax return Example. Irs amended tax return You must pay your former spouse $10,000 in cash each year for 10 years. Irs amended tax return Your divorce decree states that the payments will end upon your former spouse's death. Irs amended tax return You must also pay your former spouse or your former spouse's estate $20,000 in cash each year for 10 years. Irs amended tax return The death of your spouse would not terminate these payments under state law. Irs amended tax return The $10,000 annual payments may qualify as alimony. Irs amended tax return The $20,000 annual payments that do not end upon your former spouse's death are not alimony. Irs amended tax return Substitute payments. Irs amended tax return   If you must make any payments in cash or property after your spouse's death as a substitute for continuing otherwise qualifying payments before the death, the otherwise qualifying payments are not alimony. Irs amended tax return To the extent that your payments begin, accelerate, or increase because of the death of your spouse, otherwise qualifying payments you made may be treated as payments that were not alimony. Irs amended tax return Whether or not such payments will be treated as not alimony depends on all the facts and circumstances. Irs amended tax return Example 1. Irs amended tax return Under your divorce decree, you must pay your former spouse $30,000 annually. Irs amended tax return The payments will stop at the end of 6 years or upon your former spouse's death, if earlier. Irs amended tax return Your former spouse has custody of your minor children. Irs amended tax return The decree provides that if any child is still a minor at your spouse's death, you must pay $10,000 annually to a trust until the youngest child reaches the age of majority. Irs amended tax return The trust income and corpus (principal) are to be used for your children's benefit. Irs amended tax return These facts indicate that the payments to be made after your former spouse's death are a substitute for $10,000 of the $30,000 annual payments. Irs amended tax return Of each of the $30,000 annual payments, $10,000 is not alimony. Irs amended tax return Example 2. Irs amended tax return Under your divorce decree, you must pay your former spouse $30,000 annually. Irs amended tax return The payments will stop at the end of 15 years or upon your former spouse's death, if earlier. Irs amended tax return The decree provides that if your former spouse dies before the end of the 15-year period, you must pay the estate the difference between $450,000 ($30,000 × 15) and the total amount paid up to that time. Irs amended tax return For example, if your spouse dies at the end of the tenth year, you must pay the estate $150,000 ($450,000 − $300,000). Irs amended tax return These facts indicate that the lump-sum payment to be made after your former spouse's death is a substitute for the full amount of the $30,000 annual payments. Irs amended tax return None of the annual payments are alimony. Irs amended tax return The result would be the same if the payment required at death were to be discounted by an appropriate interest factor to account for the prepayment. Irs amended tax return Child support. Irs amended tax return   A payment that is specifically designated as child support or treated as specifically designated as child support under your divorce or separation instrument is not alimony. Irs amended tax return The amount of child support may vary over time. Irs amended tax return Child support payments are not deductible by the payer and are not taxable to the recipient. Irs amended tax return Specifically designated as child support. Irs amended tax return   A payment will be treated as specifically designated as child support to the extent that the payment is reduced either: On the happening of a contingency relating to your child, or At a time that can be clearly associated with the contingency. Irs amended tax return A payment may be treated as specifically designated as child support even if other separate payments are specifically designated as child support. Irs amended tax return Contingency relating to your child. Irs amended tax return   A contingency relates to your child if it depends on any event relating to that child. Irs amended tax return It does not matter whether the event is certain or likely to occur. Irs amended tax return Events relating to your child include the child's: Becoming employed, Dying, Leaving the household, Leaving school, Marrying, or Reaching a specified age or income level. Irs amended tax return Clearly associated with a contingency. Irs amended tax return   Payments that would otherwise qualify as alimony are presumed to be reduced at a time clearly associated with the happening of a contingency relating to your child only in the following situations. Irs amended tax return The payments are to be reduced not more than 6 months before or after the date the child will reach 18, 21, or local age of majority. Irs amended tax return The payments are to be reduced on two or more occasions that occur not more than 1 year before or after a different one of your children reaches a certain age from 18 to 24. Irs amended tax return This certain age must be the same for each child, but need not be a whole number of years. Irs amended tax return In all other situations, reductions in payments are not treated as clearly associated with the happening of a contingency relating to your child. Irs amended tax return   Either you or the IRS can overcome the presumption in the two situations above. Irs amended tax return This is done by showing that the time at which the payments are to be reduced was determined independently of any contingencies relating to your children. Irs amended tax return For example, if you can show that the period of alimony payments is customary in the local jurisdiction, such as a period equal to one-half of the duration of the marriage, you can overcome the presumption and may be able to treat the amount as alimony. Irs amended tax return How To Deduct Alimony Paid You can deduct alimony you paid, whether or not you itemize deductions on your return. Irs amended tax return You must file Form 1040. Irs amended tax return You cannot use Form 1040A or Form 1040EZ. Irs amended tax return Enter the amount of alimony you paid on Form 1040, line 31a. Irs amended tax return In the space provided on line 31b, enter your spouse's social security number (SSN) or individual taxpayer identification number (ITIN). Irs amended tax return If you paid alimony to more than one person, enter the SSN or ITIN of one of the recipients. Irs amended tax return Show the SSN or ITIN and amount paid to each other recipient on an attached statement. Irs amended tax return Enter your total payments on line 31a. Irs amended tax return You must provide your spouse's SSN or ITIN. Irs amended tax return If you do not, you may have to pay a $50 penalty and your deduction may be disallowed. Irs amended tax return For more information on SSNs and ITINs, see Social Security Number (SSN) in chapter 1. Irs amended tax return How To Report Alimony Received Report alimony you received as income on Form 1040, line 11. Irs amended tax return You cannot use Form 1040A or Form 1040EZ. Irs amended tax return You must give the person who paid the alimony your SSN or ITIN. Irs amended tax return If you do not, you may have to pay a $50 penalty. Irs amended tax return Recapture Rule If your alimony payments decrease or end during the first 3 calendar years, you may be subject to the recapture rule. Irs amended tax return If you are subject to this rule, you have to include in income in the third year part of the alimony payments you previously deducted. Irs amended tax return Your spouse can deduct in the third year part of the alimony payments he or she previously included in income. Irs amended tax return The 3-year period starts with the first calendar year you make a payment qualifying as alimony under a decree of divorce or separate maintenance or a written separation agreement. Irs amended tax return Do not include any time in which payments were being made under temporary support orders. Irs amended tax return The second and third years are the next 2 calendar years, whether or not payments are made during those years. Irs amended tax return The reasons for a reduction or end of alimony payments that can require a recapture include: A change in your divorce or separation instrument, A failure to make timely payments, A reduction in your ability to provide support, or A reduction in your spouse's support needs. Irs amended tax return When to apply the recapture rule. Irs amended tax return   You are subject to the recapture rule in the third year if the alimony you pay in the third year decreases by more than $15,000 from the second year or the alimony you pay in the second and third years decreases significantly from the alimony you pay in the first year. Irs amended tax return   When you figure a decrease in alimony, do not include the following amounts. Irs amended tax return Payments made under a temporary support order. Irs amended tax return Payments required over a period of at least 3 calendar years that vary because they are a fixed part of your income from a business or property, or from compensation for employment or self-employment. Irs amended tax return Payments that decrease because of the death of either spouse or the remarriage of the spouse receiving the payments before the end of the third year. Irs amended tax return Figuring the recapture. Irs amended tax return   You can use Worksheet 1 in Publication 504 to figure recaptured alimony. Irs amended tax return Including the recapture in income. Irs amended tax return   If you must include a recapture amount in income, show it on Form 1040, line 11 (“Alimony received”). Irs amended tax return Cross out “received” and enter “recapture. Irs amended tax return ” On the dotted line next to the amount, enter your spouse's last name and SSN or ITIN. Irs amended tax return Deducting the recapture. Irs amended tax return   If you can deduct a recapture amount, show it on Form 1040, line 31a (“Alimony paid”). Irs amended tax return Cross out “paid” and enter “recapture. Irs amended tax return ” In the space provided, enter your spouse's SSN or ITIN. Irs amended tax return Prev  Up  Next   Home   More Online Publications