A cash liquidating distribution are funds distributed to a shareholder when a corporation is partially or fully liquidated. The distribution represents a return of an investor’s capital, so it’s not taxable to the extent of basis in the stock. If the distribution exceeds basis, it is a capital gain (long-term or short-term depending upon how long the stock has been held).
A husband and wife who are required to live apart from each other by the terms of a decree of separate maintenance. Payments under the decree are deductible by the payor and taxable to the payee as alimony.