News & Analysis as of

Divorce Income Taxes

Divorce is the formal legal dissolution of a marriage. The divorce process implicates many diverse areas of the law including, but not limited to, real estate, wills and trusts, child custody, and tax.
Obermayer Rebmann Maxwell & Hippel LLP

The Impact of a Divorce on Taxes

The post-Labor Day surge in family law cases comes with many questions, including concerns about upcoming holidays, and whether a divorce will be finalized by year-end. For some, the imminent tax extension deadline for...more

Jaburg Wilk

Eight Essential Tax Insights For Arizona Residents Who Are Navigating Divorce

Jaburg Wilk on

Divorce and legal separation can entail more than just emotional and legal complexities. They can also involve navigating intricate and complex tax implications. There are eight key considerations to consider relative to...more

Fox Rothschild LLP

Superior Court Finds Income is Income Until it Isn’t

Fox Rothschild LLP on

For time immemorial Pennsylvania’s appellate law has held that people who have children have a duty to deploy their resources to see that those children are adequately support. Child support is a “priority” obligation. “The...more

Lasher Holzapfel Sperry & Ebberson PLLC

My Spouse Filed for Divorce: What Should I Do Next?

Divorce often feels frightening and overwhelming, especially at the beginning if it came as a surprise. Even if you do not oppose the divorce and were expecting the paperwork, reading a divorce petition for the first time can...more

Fox Rothschild LLP

Is it Too Soon to Discuss a Joint Return for 2024?

Fox Rothschild LLP on

Yes, it’s January which means that accountants all across America are locking into their space capsules for launch into orbit where they will prepare countless returns due on April 15 for TY 2023 and then gently parachute...more

Pietragallo Gordon Alfano Bosick & Raspanti,...

New Year Resolutions: Best Practices for Our Clients

Year-end and the beginning of the New Year are good times to check in on your family law matters. Myriad events might be triggered as the calendar switches over. A little pre-planning can avoid unpleasant surprises or...more

Adler Pollock & Sheehan P.C.

Going Through a Divorce? Ease the Transfer of Retirement Plan Assets With a QDRO

Despite its unusual sounding name, a QDRO isn’t an alien from a science fiction movie or a geometric equation. In fact, QDRO stands for “qualified domestic relations order.” If you’re in the process of a divorce, a QDRO may...more

Obermayer Rebmann Maxwell & Hippel LLP

I’m Getting Divorced - How Should I File My Taxes?

If you are separated or have filed for divorce you can still file your taxes jointly with your spouse so long as you are not legally divorced. If you divorced at some point during the year you will be unable to file jointly....more

Weber Gallagher Simpson Stapleton Fires &...

2022 Tax Season: What Families Need to Know

As the 2022 tax season kicks off, there are important issues that divorcing parties must consider. First, it is always more beneficial to the family unit for the parties to file taxes married filing jointly. Not only does...more

J.S. Held

Crypto After the Crash: Strategies for Resolving Valuation and Tax Issues in Matrimonial and Other Litigation

J.S. Held on

The cryptocurrency market was down approximately 64% for the year 2022, with most of the decline occurring before the FTX collapse. For many, this news may bring a feeling of JOMO (Joy of Missing Out). For practitioners...more

Weber Gallagher Simpson Stapleton Fires &...

I Just Got My Divorce Decree, How Can/Should I File My Taxes for 2022?

Tax filing status is a common question asked of divorce attorneys like me and my colleagues – especially toward the end of the year. That said, while this is a popular question, this could be the shortest blog in history...more

Bowditch & Dewey

8 Important Tax Considerations During Divorce

Bowditch & Dewey on

Income tax effects are often the last thing on one’s mind when going through a divorce, but having sound tax advice during a divorce is important for many reasons. FILING STATUS - Divorce will change your income tax...more

Freeman Law

Tax Court in Brief | Ibrahim v. Commissioner | Deduction of Alimony or Separation Maintenance Payments

Freeman Law on

Tax Litigation: The Week of May 16th, 2022, through May 20th, 2022 Caldwell v. Comm’r, T.C. Memo 2022-51 | May 20, 2022 | Lauber, J. | Dkt. No. 3333-19. Ibrahim v. Commissioner, TC Summary Opin. 2022-7| May 16, 2022 |...more

Proskauer Rose LLP

Wealth Management Update - July 2021

Proskauer Rose LLP on

July 2021 Interest Rates for GRATs, Sales to Defective Grantor Trusts, Intra-Family Loans and Split Interest Charitable Trusts AFRs - The July applicable federal rate ("AFR") for use with a sale to a defective grantor...more

Fox Rothschild LLP

The Illusory Tale Of The Biden Tax Credit

Fox Rothschild LLP on

This weekend brought a report from an outlet called BGR Media about the child tax credits that are due to start hitting bank accounts in the next few weeks. This child tax credit, unlike all its predecessors, is being paid...more

Bowditch & Dewey

When to Take Advantage of a Spousal Lifetime Access Trust (SLAT)

Bowditch & Dewey on

Under the Tax Cuts and Jobs Act, in 2020 each person may transfer up to $11,580,000 without incurring a gift or estate tax. This generous exemption amount will sunset at the end of 2025, which means that in 2026, the...more

Gerald Nowotny - Law Office of Gerald R....

War of the Rosas - Using Pooled Income Funds in Divorce Planning

According to statistics 40-50 percent of all marriages end in divorce. To add insult to injury, tax reform eliminated the deductibility of alimony payments for divorce and separation agreements that are finalized or amended...more

Cozen O'Connor

The Deductibility of Future Alimony Payments Just Might Depend on the Past

Cozen O'Connor on

The Tax Cuts & Jobs Act of 2017 eliminated the tax deduction previously allowed for alimony payments effective January 1, 2019.  This meant that alimony payments made pursuant to an agreement executed after December 31, 2018...more

Jaburg Wilk

Divorce and Taxes

Jaburg Wilk on

When a couple is getting divorced both current and future tax obligations as well as tax basis are very important. There are four areas that we frequently advise our clients about. Originally published on ABC15 Sonoran...more

Cozen O'Connor

“Untying the Knot”: Practical Considerations for the Newly Divorced

Cozen O'Connor on

I was asked recently by a financial advisor in New York, to review and comment on a chart he had put together which was designed to help newly-divorced people in get back on their feet. The draft document I received covered...more

Burns & Levinson LLP

Child Support and Gifting

Burns & Levinson LLP on

As a divorce lawyer who also does some probate litigation and trusts and estate work, I have always been interested in the interplay between divorce and trusts and estates. Recently, the issue of whether gifts are considered...more

Cozen O'Connor

Changes to the Pennsylvania Support Guidelines in Response to the New Tax Law

Cozen O'Connor on

For the past several decades the “alimony deduction” has been available to all divorcing couples. This deduction provided that the spouse making alimony payments could deduct alimony payments from his or her income and the...more

Smith Debnam Narron Drake Saintsing & Myers,...

Alimony Under the Tax Cuts and Jobs Act of 2017

The current federal tax laws enacted in late 2017 have been the subject of many news stories and articles. Although most aspects of the legislation took effect in 2018, the changes to the tax treatment of alimony went into...more

Burns & Levinson LLP

Rethinking the Amount of Alimony

Burns & Levinson LLP on

As I wrote in a prior blog piece, under M.G.L. c. 208, sec. 53, the amount of alimony paid to support a former spouse should generally not exceed the recipient’s need or 30 to 35% of the difference between the parties’ gross...more

Stange Law Firm, PC

New Tax Changes Regarding Alimony Make Divorce More Difficult

Stange Law Firm, PC on

Under a new tax law that is going into effect in 2019, alimony (also known as “maintenance” or “spousal maintenance” in many states) is going to be treated differently than before for tax purposes. Dating back to the Internal...more

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