Child support payments are not tax deductible by the payer and are not taxable income to the recipient. Paying child support does not necessarily entitle you to claim the child as a dependent for tax purposes (a dependency exemption). The Internal Revenue Service (IRS) rules dictate that the parent with whom the child spent the most nights during the tax year has the right to claim the child as a dependent. And if the child spends an equal number of nights with each parent during the tax year, the parent with the higher adjusted gross income (AGI) has the right to claim the child as a dependent. Sometimes the child custody court will order the parents to alternate years of claiming the child as a dependent.

In Louisiana, as in all states, child support payments are governed by federal tax law, which stipulates that these payments are neither deductible for the payer nor taxable to the recipient. This means that the parent who pays child support cannot deduct the amount from their taxable income, and the parent who receives child support does not have to report it as income. When it comes to claiming a child as a dependent for tax purposes, the IRS rules are clear: the custodial parent, defined as the parent with whom the child spent the most nights during the tax year, is typically entitled to the dependency exemption. If the child's time is split evenly between parents, the parent with the higher adjusted gross income (AGI) is entitled to claim the exemption. However, a child custody court in Louisiana may issue an order that allows parents to alternate the years in which they claim the child as a dependent, overriding the standard IRS rules. It's important for parents to adhere to the specific terms of their child support order and any court-ordered arrangements regarding tax exemptions.