Does alimony count as income?

Yes, according to the IRS. Alimony you received (also called "spousal support") should be reported as income in TurboTax.

1. Open your return in TurboTax.
2. Select Federal Taxes (or Personal in the Home & Business edition) and then click Wages & Income.
3. Proceed to the Your 2012 Income Summary screen and then scroll down the Less Common Income section.
4. Click the Start or Update button to the right of Alimony Received and follow the on-screen instructions.

Don't enter any child support payments, as these are not considered alimony.

You can deduct alimony you paid to an ex-spouse. However, you can't deduct child support payments.

To enter your alimony payments:

1. Open your return in TurboTax.
2. Select Federal Taxes (or Personal in the Home & Business edition) and then click Deductions & Credits.
3. Proceed to the Your 2012 Deductions & Credits screen and then scroll down the Other Deductions and Credits section.
4. Click the Start or Update button to the right of Alimony Paid and follow the on-screen instructions.