Michigan Spousal Support Overview

• Formerly known as alimony in Michigan, spousal support payments are discretionary, and family law judges can order spousal support based on financial need. Although child support is based on statutory guidelines, spousal support payments are not. Before the Michigan legislature amended its current family law statute governing spousal support orders, spousal support payments were payable only to women. According to the federal Internal Revenue Code and the Michigan Income Tax Act of 1967, spousal support payments are taxable to payors and tax-deductible to payees. However, child support payments are neither taxable to custodial parent-payees nor tax-deductible to noncustodial parent-payors.
  
  

Tax Form Procedures

• Taxpayers must include the total amount they received from their former spouses as periodic alimony payments in line 17 of their tax returns. Taxpayers can use line 25 to deduct their alimony payments to their former spouses. Michigan residents can file their tax returns jointly or separately if they are still legally married by the end of the tax year. Again, similar to the federal tax code, under Michigan law, December 31 is the last day of the current tax year. If spouses are legally divorced on December 31, they must file their taxes separately.
  
  

Written Instrument Required

• To deduct spousal support, paying spouses must be able to prove they are required to pay it pursuant to a written agreement or divorce order. If the payor is not bound by a written court order or legal document to pay spousal support, the Michigan Department of Treasury treats it as a voluntary payment.
  
  

Federal Taxes

• Under Michigan law, taxpayers who are unable to deduct their alimony payments on their federal tax returns are prohibited from deducting them on their state tax returns. Similarly, taxpayers who are able to deduct their spousal support payments on their federal tax returns can deduct them on their state tax returns. Under Section 141.634 of the Michigan City Income Tax Act or Act 284 of 1964, spousal support payments are deductible only when spouses paying spousal support included their payments as deductions on their federal tax returns. Taxpayers deducting their alimony payments are limited to the amount allowed under the federal tax code.
  
  

Considerations

• Since state tax laws can frequently change, do not use this information as a substitute for legal advice. Seek advice through an attorney licensed to practice law in your state.