Jon and Melissa were divorced in December 2018. Under the divorce agreement, Melissa was granted custody of Belle, their 7-year-old daughter. Jon is required to pay Melissa $4,500 per month until Belle turns 18, at which point the monthly payments are reduced to $2,000 per month for the remainder of Melissa's life or until she remarries. For 2023, assuming Jon makes all required payments under the divorce agreement, how much of it, if any, can he deduct for tax purposes? a. $0 b. $24,000 C. $30,000 d. $54,000 e. $78,000

Jon and Melissa were divorced in December 2018. Under the divorce agreement, Melissa was granted custody of Belle, their 7-year-old daughter. Jon is required to pay Melissa $4,500 per month until Belle turns 18, at which point the monthly payments are reduced to $2,000 per month for the remainder of Melissa's life or until she remarries. For 2023, assuming Jon makes all required payments under the divorce agreement, how much of it, if any, can he deduct for tax purposes? a. $0 b. $24,000 C. $30,000 d. $54,000 e. $78,000

Income Tax Fundamentals 2020

38th Edition

ISBN:9780357391129

Author:WHITTENBURG

Publisher:WHITTENBURG

Chapter2: Gross Income And Exclusions

Section: Chapter Questions

Problem 27P: Answer the following questions: Under a 2017 divorce agreement, Joan is required to pay her...

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