Deducting a Mortgage That Is Rent-Free By a Former Spouse

Did you know that you could deduct a mortgage payment and other household costs paid on a home you own and that is lived in rent-free by your former spouse following divorce or separation?

You will not be able to deduct the the mortgage or real estate tax payments you make as alimony, nor you are allowed to claim the fair rental value of the home as alimony, nor are you allowed to claim the fair rental value of the home as alimony, you can deduct qualifying mortgage interest and real estate taxes, if you itemize deductions.
While the mortgage and real estate tax payments do not qualify as deductible alimony, you can however make up for it utilities on behalf of a former spouse who is using the home under the specified terms of the separation/divorce. However, your former spouse will have to include these utilities payments in income.