Alimony is tax deductible only for divorce agreements finalized before January 1, 2019. In such cases, the paying spouse can deduct alimony payments from their taxable income. For agreements finalized on or after that date, alimony payments are not deductible. This change shifted the tax burden structure between spouses. Taxpayers should carefully review their divorce documents to confirm eligibility for deductions. Claiming alimony deductions incorrectly can lead to IRS penalties, so accuracy is essential. Is Alimony Tax Deductible