Spousal Support and Child Support After Divorce in Yukon

Receiving a final divorce order does not always mean the financial relationship with your former spouse is over. If your separation agreement or court order includes spousal support or child support obligations, those payments become an ongoing part of your post-divorce financial life. Understanding how these obligations work — how they are calculated, how they are taxed, when they can be modified, and how to enforce them if they stop — is essential for both the payor and the recipient.

Child Support After Divorce in Yukon

Child support in Canada is governed by the federal Child Support Guidelines, which apply in Yukon divorces under the federal Divorce Act. The guidelines set a baseline monthly amount — called the "table amount" — based on the paying parent's gross annual income and the number of children. The table amount is not negotiable in most cases. It is a legal minimum.

How the table amount is calculated: The guidelines use income tables calibrated to each province and territory. For the Yukon, the table reflects territorial income tax rates. A family law lawyer or the Yukon Family Law Information Centre (FLIC) at 867-456-6721 can run a calculation for you, or you can use the Department of Justice's online Child Support Table Look-up tool at the Canada.ca website.

Special or extraordinary expenses (Section 7 expenses): On top of the table amount, courts can order both parents to share additional expenses proportional to their incomes. These include childcare costs that allow the custodial parent to work, healthcare costs not covered by insurance, primary school and post-secondary education costs, and extracurricular activities. Section 7 expenses are shared in proportion to each parent's income — not split 50/50 unless both incomes are equal.

Income used for the calculation: The guidelines use the payor's total income from line 15000 of their most recent tax return, with adjustments for self-employment income, rental income, and other sources. If a payor's income has changed significantly since their last return, current-year income evidence (pay stubs, business financials) will be used.

The Tax Treatment of Child Support

Child support payments are not taxable for the recipient and not deductible for the payor. This is the rule for all child support orders made under the current Child Support Guidelines (which have applied since May 1, 1997). Both parties need to understand this when budgeting after divorce:

• The recipient parent does not declare child support as income.
• The payor parent does not claim child support as a deduction.
• The CRA does not need to be notified of child support amounts separately — but the payor's income does affect child benefit calculations, which the CRA handles through the Form RC65 marital status update.

Modifying Child Support After Divorce

Child support is not fixed forever. Either parent can apply to the Supreme Court of Yukon to modify the amount if there has been a material change in circumstances. Common triggers include:

• A significant change in the payor's income (increase or decrease)
• A change in the custody or parenting arrangement
• A child turning 18 or completing full-time education (depending on the order terms)
• A change in a child's extraordinary expenses (new childcare costs, a new health condition, enrollment in a new activity)

The Yukon Family Property and Support Act and the federal Divorce Act both allow for modification on a material change basis. Both parties should update their income information annually — many separation agreements include a clause requiring annual disclosure of tax returns to facilitate this.

The Yukon After-Divorce Checklist includes a CRA notification checklist and a complete post-divorce financial account sequence for Yukon residents.

Spousal Support After Divorce in Yukon

Spousal support — also called alimony or spousal maintenance — is an ongoing payment from one former spouse to the other, designed to compensate for economic disadvantage arising from the marriage or its breakdown. Unlike child support, spousal support is not governed by a rigid formula. It involves significant judicial discretion.

The Spousal Support Advisory Guidelines (SSAGs): Canada does not have legislated spousal support guidelines the way it has child support guidelines. Instead, courts and practitioners use the non-binding SSAGs, which provide a range for both the amount and the duration of spousal support. The range is calculated based on the length of the marriage and the income difference between the spouses. The midpoint of the SSAG range is typically what courts use unless there are compelling reasons to go higher or lower.

Entitlement must be established first: Before the amount is calculated, the court must decide whether spousal support is owed at all. Entitlement is based on one of three grounds: compensatory (one spouse gave up career advancement for the marriage or children), non-compensatory (one spouse needs financial support and the other has the ability to pay), or contractual (the separation agreement includes a spousal support clause). If entitlement is not clear-cut, it is often the most contested part of a Yukon divorce.

Duration: Spousal support can be time-limited (for a fixed number of years to allow the recipient to become self-sufficient) or indefinite (typically in long marriages where the recipient is unlikely to become financially independent). The Yukon Family Mediation Service offers free mediation to help former spouses reach agreement on these terms without court — contact them through yukon.ca.

The Tax Treatment of Spousal Support

Unlike child support, spousal support has significant tax consequences for both parties:

• The recipient pays income tax on spousal support received. It must be declared as income on line 12800 of the tax return.
• The payor can deduct spousal support paid. It is claimed on line 22000 of the tax return.

This tax treatment applies only to periodic (regularly scheduled) payments — weekly, bi-weekly, or monthly. Lump-sum spousal support settlements are generally neither taxable nor deductible.

For this treatment to apply, the support must be paid under a written agreement or court order, not informally. If you are receiving or paying support, make sure it is documented properly and that you retain all records of payments for your annual tax filing.

Both parties should also notify the CRA of the change in marital status using Form RC65 by the end of the month following the divorce taking effect. This ensures child benefit and GST/HST credit calculations are adjusted accurately.

What Happens If Payments Stop

If a payor falls behind on child or spousal support, the recipient has legal tools available without returning to court every time:

Maintenance Enforcement: Yukon does not have a standalone maintenance enforcement program in the same form as some provinces. Court orders can be enforced through the Supreme Court of Yukon if a payor defaults. Contact the court registry or FLIC (867-456-6721) for the applicable enforcement process.

Federal enforcement options: The Canada Revenue Agency can withhold income tax refunds and GST/HST credits from a payor who owes support arrears. Service Canada can withhold Employment Insurance payments. These federal enforcement tools require the support order to be registered with the appropriate federal agency — your family lawyer can assist with this.

Contempt of court: A payor who willfully ignores a court support order can be found in contempt of court, which carries penalties including fines and incarceration. This is a last resort but it is a real legal tool.

If arrears are accumulating, do not wait. The longer you wait to enforce, the harder recovery becomes.

Modifying Spousal Support

Like child support, spousal support can be modified if there is a material change in circumstances. Changes in either party's income, a cohabitation or remarriage by the recipient, retirement by the payor, or a significant health change can all justify a review.

If the original order was time-limited, the recipient can apply for an extension before the termination date if full financial independence has not been achieved — but they must apply before the order expires, not after.

If you settled spousal support as part of a separation agreement rather than through a court order, variation is governed by the agreement's own terms. Many agreements include review clauses tied to specific events (remarriage, retirement, a fixed number of years). Review your agreement carefully and mark any trigger dates in your calendar.

Practical Steps After the Final Order

Once your divorce is final and support obligations are confirmed in the order, do the following:

1. Keep a copy of the order in a secure location. You may need it to enforce payments, to register support with federal enforcement agencies, or to apply for a modification years from now.
2. Set up a dedicated payment record. Keep a running record of all support paid or received — dates, amounts, method of payment. This is essential if there is ever a dispute.
3. Notify the CRA. File Form RC65 to update your marital status and ensure your benefit calculations are correct.
4. Update your budget. Support payments — whether you are paying or receiving — change your monthly cash flow significantly. Adjust your budget before the first payment is due, not after.

For the complete post-divorce administrative sequence in the Yukon — covering not just support payments but also name changes, pension division, beneficiary updates, government ID, and property transfers — the Yukon After-Divorce Checklist provides a step-by-step guide with exact deadlines, documents, and office contacts.

See more Yukon guides →