Although the company the representative is purporting to be from is ACE Cash Express, Inc., it should be noted that ACE Cash Express, Inc., website: www.acecashexpress.com is licensed with the Department of Financial Institutions.
A: No, child support payments are not considered taxable income, according to the IRS. Child support payments are neither deductible by the payer nor taxable to the payee. So when you calculate your gross income to see if you are required to file a tax return, do not include child support payments received.
You can deduct spousal support payments on your income tax return, but not child support or property distributions. So the IRS scrutinizes support paid in the first three years to make sure that you didnât disguise property distribution or other postdivorce obligations, like attorneysâ fees, as deductible support.This is the opposite of child support, which is neither taxable nor deductible.) In general, a higher earner will be looking for deductions, and a lower earner will not have to pay much tax on the amount of support received, so the taxable/deductible structure works fine.