Payments made prior to the date of the court order or written agreement

An amount paid before a court order or written agreement takes place or comes into effect is recognized if the order or agreement states that any amount previously paid is deemed paid under the order or agreement. However, the payments must be made in the year the order or agreement was established, or in the preceding year.

Example
Since the couple separated in January 2009, Brendan has been paying $500 monthly to Sarah in spousal support. On January 8, 2011, a written agreement was established confirming that Brendan is required to pay $500 monthly in support.

The written agreement also indicates that the amounts paid before January 2011 are considered paid and received in accordance with this agreement.

The payments made in 2010 and 2011 are considered support payments because they were paid in the year of the written agreement and the previous year. Therefore, these payments can be deducted. The 2009 payments were not paid in the year of the written agreement or in the previous year, so they cannot be deducted by the payer and are not included in the recipient's income.

Forms and publications

• Guide P102, Support Payments
• IT530, Support Payments