When It Comes to Alimony, Tax Doesn’t Have to Be Complicated

When it comes to taxes, the formality and complexity of the tax code can lead some taxpayers to believe that compliance is always complicated. But sometimes, simple can be enough.

In a recent Tax Court case, the taxpayers opted for simple, but the Internal Revenue Service insisted on a more complicated arrangement. The Tax Court, however, ruled that the taxpayers need only meet the basic requirements of the law, and nothing more.

The taxpayer, who served on active duty in the U.S. Marine Corps, was married to his former spouse on June 11, 2009. They had one child during their ...