“What is the best way to record these payments?”

We don’t know what is this business entity Tax Type. This is either Owner Draw or Shareholder distribution for the remaining spouse, who then pays this to the ex as a Personal cost.

It is not business expense.

And you used the words “their […]

Resolution for 'book payments issue: 'How to book payments to an ex-spouse for their share of the business?' available: Yes.

The book payments issue or error code is a known issue in Quickbooks Online (QBO) and/or Quickbooks. Support for this issue is available either by self-service or paid support options. Experts are available to resolve your Quickbooks issue to ensure minimal downtime and continue running your business. First try to resolve the book payments issue yourself by looking for a resolution described in the article. If it is a complex book payments issue or you are unable to solve the issue, you may contact us by clicking here or by using other book payments support options.

For more information about resolving issues related to book payments in Quickbooks/QBO or to get support for the issue 'How to book payments to an ex-spouse for their share of the business?', click the link below: