Divorce & Taxes

Income tax issues during divorce involve the most important tax breaks that the federal government offers to its citizens. Many times these issues are ignored because the parties who are going through the divorce have too much difficulty agreeing upon the most basic issues.  More complex tax issues simply get lost in the shuffle of papers and negotiations.

The most important tax considerations for both parties include the following:  1)  Married Filing Separately, Separate Returns and Innocent Spouses; 2) Head of Household; 3) Child Dependency; and 4) Child Support, Equitable Distribution and Alimony.

These broad tax issues are the most important to divorcing couples.  Two through four allow the parties to work together to maximize tax savings.  Number one represents the most important consideration in protecting oneself against tax problems later on.

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