Divorcees eye GOP plan on alimony deduction

Experts worry there will be less money for families, tenser negotiations

HARTFORD, Conn. – For over a decade, Charles Crenshaw has been paying his ex-wife tens of thousands of dollars annually in alimony. The now-retired engineer is hoping to renegotiate the agreement for lower payments, but he’s waiting first to see what comes of a tax reform proposal in Congress.

Under a House Republican tax plan that would eliminate the deduction for alimony payments, the 73-yearold resident of Bloomfield, Connecticut, says he could lose thousands of dollars.

“I’m contacting my congressman to say that’s something that should be left alone,” Crenshaw said.

He is among many unhappy couples, divorce lawyers and others keeping a close eye on the proposal, which would also end taxation of alimony recipients on the payments.

The House approved eliminating the deduction Thursday as part of a nearly $1.5 billion package to overhaul corporate and personal taxes. The proposal remains in limbo, however, because it is not included in the Senate tax plan that GOP leaders hope to pass early next month.

Getting rid of the write-off is generating concerns about the possibility of higher taxes for men, who make up the majority of those paying alimony, and more acrimonious divorce negotiations. A national group of family law attorneys, the American Academy of Matrimonial Lawyers, announced Thursday that it is against the proposal.

“Alimony is an essential tool that has enabled countless spouses to adjust to a dramatically altered economic reality,” said Madeline Marzano-Lesnevich, president of the academy. “The financial security provided to families by spousal support is a valuable resource that needs to be further strengthened and not diminished by our representatives.”

Toni Van Pelt, president of the National Organization for Women, said the tax change could make it more difficult for women to get the support they need because their ex-husbands would have less money.