Does BAH count as income for divorce?
Does BAH count as income for divorce?
According to the California Court of Appeals in the case of In re Marriage of Stanton, BAH and BAS, as well as any additional military allowances such as special duty allowances, are included in total tax-free income when calculating child and spousal support.
Is military BAH factored into child support?
The IRS doesn’t tax military housing and food allowances, but most states’ child support guidelines include all income, whether it’s taxable or not. They appear to universally agree that even though allowances and in-kind compensation are nontaxable, they should be counted as income for purposes of calculating support.
Is BAH included in gross income?
For example, the Basic Allowance for Housing (BAH) can be excluded from gross income as a qualified military benefit. Excludable income will not be included in the amount on Form W-2, Box 1.
Can a military spouse get a Bah after a divorce?
Basic Allowance for Housing (BHA) is a monthly allowance that applies to members in the military. BHA offsets the cost of housing when members live off-base; not in a government-provided home. If you are getting a divorce, you can still receive BAH in most cases.
Do you have to pay taxes on Bah after divorce?
The Internal Revenue Service (IRS) does not tax BAH as income, but most states can include BAH payments as income for purposes of calculating child support. The higher your income is, the more you generally pay in child support. Getting divorced when you or your spouse are in the military has its own set of unique concerns.
How is child support calculated in the military?
The calculation of child support involves what is called the housing allowance. The military housing allowance, now called the Basic Allowance for Housing (BAH), is nontaxable allowance paid to service members who do not live in government housing.
How are bas and Bah included in child support?
BAS and BAH are cash benefits and, accordingly, should be included both on any Financial Affidavit and in “gross income” for the purposes of calculating child support.4 If a military member receives in-kind benefits instead, such as living in rent-free military housing in lieu of BAH,…
Basic Allowance for Housing (BHA) is a monthly allowance that applies to members in the military. BHA offsets the cost of housing when members live off-base; not in a government-provided home. If you are getting a divorce, you can still receive BAH in most cases.
The Internal Revenue Service (IRS) does not tax BAH as income, but most states can include BAH payments as income for purposes of calculating child support. The higher your income is, the more you generally pay in child support. Getting divorced when you or your spouse are in the military has its own set of unique concerns.
How are Bah and bas considered in calculating child support?
In a 2010 California case called Marriage of Stanton, the court specifically held that allowances such as BAH and BAS are classified as income for the purpose of calculating child support. The decision set a precedent for the full earnings of military members — taxable or otherwise — to be considered when calculating child support.
Is the military responsible for child support in a divorce?
Military members are afforded benefits such as housing and food allowances as well as pay and sometimes support can be a little tricky to navigate based on other allowances civilian spouses do not have. Military members are no less responsible for child support than any other parent in a divorce.