The rules for tax deductions in family litigation are complex and depend on exact nature of the family law litigation. Legal costs to obtain an order for child support are deductible as are legal fees from attempting to collect support payments owed by a spouse. However legal costs related to spousal support are not deductible, nor are the costs of obtaining custody or a divorce. A pre-existing right to a support amount can arise from a written agreement, a court order or legislation. Legal expenses incurred to defend against the reduction of support payments are deductible. However the opposite applies to legal costs of seeking to obtain an increase in spousal or child support, or to make child support non taxable under the Federal Child Support Guidelines, which are non-deductible.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
