Late penalty on support payments

Are late penalties that are charged and paid on a divorce court order that includes both child support and spousal support taxable to the recipient and deductible by the payor? Thanks

If it’s defined in the agreement or court order as a support amount (see the def’n in 56.1(4)) then it could qualify. However, if it’s just penalties from the court and not defined to be support, it wouldn’t be deductible.

1 Like