| A divorce is always an emotional and volatile situation. | | | | children. A lot of the normal tax tips are not going to be |
| Anger, hostility, and mistrust are very common | | | | valid here and once again professional tax advice is |
| especially in the early stages. It is important to be | | | | going to be advisable. Related issues such as alimony |
| aware that the Internal Revenue Service is not going | | | | and custody are going to continue to have tax |
| to be the least bit interested in these problems, nor are | | | | implications for years after the divorce. Child support is |
| they going to care who is to blame. If there is ever a | | | | not taxable, however, nor is it deductible. |
| time to try to work together and set aside the | | | | It is possible to file taxes online in a normal manner |
| disagreement, it is at tax time. It is very helpful to get | | | | after divorce. The key factor is to try to separate the |
| some professional tax advice because the rules do | | | | emotional and personal issues from the financial issues. |
| change a bit during this time and there are provisions in | | | | Try to remember that business is business, and |
| the tax codes that address divorce. | | | | especially in a marriage that has children, it is in the |
| The first area of consideration is filing status. It is | | | | best interest of everyone to resolve tax issues fairly |
| possible to file a joint return and this method may result | | | | and in a manner that benefits everyone. It is very |
| in a considerable savings. This is why it is important to | | | | important to have all tax related issues and other |
| try to maintain some lines of communication despite | | | | financial matters that may have tax implications later |
| any bad feelings. Tax liability should be computed in | | | | covered clearly in any separation agreement. The final |
| both joint and separate filing status to determine which | | | | divorce settlement should address tax related issues |
| method is best. If one party files a joint return that is | | | | also. When this turns out to be impossible, and this is |
| not signed by the other party and the other party does | | | | sometimes the case, there is a provision of the tax |
| not file separately, the Doctrine of Tacit Consent might | | | | code known as Innocent Spouse Relief. It is almost |
| apply and the return will be accepted. | | | | amusing to think of an innocent spouse in a divorce |
| Another area of concern is the Head of Household | | | | settlement, but there it is and you should understand |
| status and exemptions for the care of dependent | | | | how it might apply to you. |