An Act relative to the tax status of alimony

This bill updates Massachusetts law regarding the tax treatment and calculation limits for alimony payments. It establishes that alimony amounts should generally not exceed the recipient's financial need or a specific percentage of the difference between the spouses' gross incomes, with different rates applied depending on whether the payments are federally tax-deductible. The changes apply only to new alimony orders issued on or after January 1, 2019, or to existing agreements that are modified on or after that date. By setting these income-based caps, the legislation aims to standardize how much alimony can be awarded relative to the parties' earnings.