It is not easy to end a relationship that should’ve lasted a lifetime. However, it is better to end a marriage that’s not working than to keep continuing it.
The agreement to separate in a marriage is generally followed by a divorce settlement in India. Nevertheless, one might wonder exactly how divorce settlement is calculated. It depends on the legal reasons for divorce in India . But there are other major factors involved.
In this post, we will help you understand the meaning, eligibility, calculations, taxability, and enforceability of divorce alimony.
Divorce Alimony Meaning In simple terms, alimony, or divorce settlement, is the maintenance support to be provided to a spouse after divorce. Generally, it is provided by a husband to a wife. However, there have been divorce settlement examples where the husband was not able to earn enough for his basic needs. In such a case, it is the woman asked to pay alimony to ex-husband .
As per the Indian alimony law, there are two types of divorce settlement amounts.
Interim Maintenance Amount. It is provided until the end of court proceedings.
Permanent Support. It is provided after the final legal separation.
However, the exact amount to be paid in the above settlements varies from one case to another. If you’re in the capital city, you may hire a divorce lawyer in Delhi to help you understand the divorce alimony meaning & its calculations.
Divorce Settlement vs. Child Maintenancea It must be noted that the divorce settlement money is different from the child maintenance amount. Regardless of alimony, child support has to be provided by a person to his/her spouse, who owns the custody rights to their children.
Eligibility for Divorce Alimony As per the Indian Divorce Act, a person is eligible for divorce settlement money if he/she does not have enough income to carry on their daily expenses or even maintain a standard of living equal to their spouse.
However, a woman might be denied divorce alimony from her husband in the following cases.
Extra-marital affair of the wife.
If the woman remarries.
When she converts to a different religion.
She is already living separately and raising her children.
In each of the above cases, the husband might get a divorce without paying alimony , as per the alimony laws in India. However, many divorce settlement examples have shown that the courts will always make their final judgments on a case-to-case basis.
Alimony Laws India: How Divorce Settlement is Calculated? The divorce money settlement in India is calculated in accordance with the alimony laws. The following are some major factors that are considered by the court.
The general conduct of husband and wife.
Financial liabilities of both parties.
Income and financial assets of both partners.
The amount and nature of marital responsibilities taken by both during marriage.
The age and health conditions of both.
Number of years in marriage.
The number of years they lived together.
Expenses of all children involved in the case.
General lifestyle of both persons.
The efforts made by one person (during marriage) for the career/skills growth of the spouse.
Due to the complexity of factors in the court’s decision-making, it’s important for you as a petitioner to know how to file a divorce in India properly.
Who Gets What in a Divorce Settlement Agreement In a divorce settlement agreement, the payment is made by the financially stronger spouse to the weaker spouse. Such payment could either be a lump sum or on a monthly basis.
The monthly payment could be 25 percent of the payer’s monthly salary. Again, it depends on a case-to-case basis.
Taxability of Divorce Money Settlement The amount received in divorce money settlement in India is treated as either a revenue receipt or capital receipt.
The monthly wife maintenance alimony is considered a revenue receipt. The receiver has to pay tax as per their tax bracket.
The lump-sum wife maintenance money is considered a capital receipt. This means it is fully tax-free .
All in all, you must note that most of the estranging wives consider lump-sum payments to be better than monthly alimony. It can help them prevent income loss in the event of the husband’s job loss or death whilst also saving on taxes.
How to Enforce a Divorce Settlement Award As per the alimony rules in India, if the payer fails to pay the divorce settlement amount, then the payee can file a petition in the relevant court. The “show cause” motion can force the defying spouse to appear in court for a hearing. The family law courts can then further impose fines and penalties to enforce alimony payments from the spouse.
What is the Need for a Divorce Lawyer Even in the most friendly divorce agreements, one of the spouses is likely to end up feeling unfairly treated. Divorce lawyers help the spouses fairly share their wealth and end their marriage peacefully. They can also help you understand how to file for child custody in India after separation.
To connect to our legal services for divorce, you may contact us through a call at +91 7703 862833, or email us at divorcelawyerdelhi3@gmail.com .
FAQs
Ans: Yes, during divorce settlement the wife can claim half of the husband’s property, especially if it is owned by the husband during their marriage.
Ans: If the wife earns an income enough to match the current lifestyle of the husband, she might not be entitled to an alimony amount.
Ans: For marriages less than 5 years old, the alimony is paid for half of the period of marriage. For a marriage duration of 10 to 20 years, the alimony is paid for 60-70% of the marriage duration. For a marriage lasting more than 20 years, alimony is paid for the whole life.
Ans: Yes, even if the wife initiates divorce, she can get alimony, provided she fulfills the legal qualifications to get alimony.
Ans: If the husband refuses to pay maintenance to his wife, he can be slapped with the requisite monetary fines and even a jail term.
Sources:
