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Old 11-17-2015, 02:58 PM
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Possible tax credits from Court Settlement?

I am a retired military member who was divorced while i was still active duty. Due to me being active duty, she didn't start receiving portions of my retirement pay until I actually retired. Due to circumstances, she was not able to claim/process for almost 10 years after I retired.

Bottom line is; We went to court and she was due/awarded almost $85,000 which I paid cash (bank transfer).

My question is, since I have already paid income taxes on the cash as it was my income, is there anyway to receive a tax credit for that amount, or is there any other way to claim/recoup taxes awarded to her. She is walking out of this court settlement tax free.



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Old 11-17-2015, 11:59 PM
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Originally Posted by fleetc View Post

My question is, since I have already paid income taxes on the cash as it was my income, is there anyway to receive a tax credit for that amount, or is there any other way to claim/recoup taxes awarded to her. She is walking out of this court settlement tax free.
My question is, since I have already paid income taxes on the cash as it was my income, is there anyway to receive a tax credit for that amount, or is there any other way to claim/recoup taxes awarded to her. She is walking out of this court settlement tax free.========>> When a couple legally divorces, the court may order 1 spouse to pay the other a certain amount of support money each month or in lump sum money . Also, when a spouse divorces a service member, the law gives the state divorce court the authority to treat the service member's military retirement pay, minus qualified deductions, as joint property. Just as the court might divide a private pension benefit, it can divide military retirement pay as part of a court-ordered property settlement or as part of a final divorce decree, dissolution, annulment or legal separation.if it can divide military retirement pay as part of a court-ordered property settlement; in the case of pty settlement, then you can not claim it on your return. property settlements, can't be deducted by the paying party and are tax-free to the person receiving them.I am not sure but I guess Amounts you pay to or for the benefit of a former spouse can NOT be considered alimony paid from you to your ex spouse for day-to-day support of the spouse with fewer financial resources is alimony as "spousal support;
Retirement benefits that the other spouse is entitled to receive
do NOT qualify as alimony.



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