Question
Marcus and Antonio divorced in July of 2018. Marcus was given sole custody of the children. Antonio was ordered to pay Marcus alimony of $1,200
Marcus and Antonio divorced in July of 2018. Marcus was given sole custody of the children. Antonio was ordered to pay Marcus alimony of $1,200 per month. In February of 2020, Marcus was informed that he had to report the alimony as income. Due to an error in the court-ordered payment, there was no amount set aside as child-support. In March 2020, the court order was modified to have $800 per month assigned to child support and $400 per month assigned to alimony. The modification included an order that the repeal of the deduction for alimony payments applies to the modification. The court order is effective on June 1, 2020. How much of Marcus' alimony payments and child support are taxable in tax year 2020?
a) $8,800 in alimony and $5,600 in child support
b) $0 in alimony and $0 in child support
c) $6,000 in alimony and $0 in child support
d) $4,800 in alimony and $9,600 in child support
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