Rick and Lenora were granted a divorce in 2014. In accordance with the decree, Rick made the following payments to Lenora in 2015: How much should Lenora include in her 2015 taxable income as alimony?

Question

Rick and Lenora were granted a divorce in 2014. In accordance with the decree, Rick made the following payments to Lenora in 2015:  How much should Lenora include in her 2015 taxable income as alimony?

Quizplus · Accepted Answer

As per the tax laws, alimony payments are taxable as income for the recipient. In this case, Lenora received $6,000 in alimony payments from Rick in 2015, which she must report as taxable income on her tax return. The other payments made by Rick, such as child support, are not taxable as income for Lenora. Therefore, the correct answer is B.

Rick and Lenora Were Granted a Divorce in 2014