• * The spouses don't file a joint return with each other;
• * The payment is in cash (or an equivalent like checks or money orders);
• * The payment is to or for a spouse or a former spouse made under a divorce or separation instrument;
• * The divorce or separation instrument doesn't designate the payment as not alimony;
• * The spouses aren't members of the same household when the payment is made;
• * There's no liability to make the payment (in cash or property) after the death of the recipient spouse.

As part of a 2011 divorce agreement involving California residents, one of the former spouse's Sallie Mae student loan accounts was included in the equitable arrangement on division and distribution of assets and debts. Because of this arrangement, the court determined that the paying spouse was responsible for these costs, and therefore the payments counted as alimony and could be deducted. 

Accounting Web noted, however, that the Tax Cuts and Jobs Act will soon make such deductions much more difficult, as the legislation eliminated most alimony deductions. However, this elimination applies only to divorce or separation instruments executed after Dec. 31, 2017; since the divorce was initiated before that point, the deduction was still allowed.