Does divorce have other tax consequences?

On behalf of Stange Law Firm, PC posted in divorce on Friday, July 28, 2017.

If you are just considering filing a divorce petition, have already been granted a divorce, or are in the middle of the process, you may have to work through different types of divorce-related legal issues. From child support to custody and alimony, it is pivotal that you are aware of your responsivities and handle these matters appropriately. Moreover, you should recognize other ways that divorce can affect you. For example, your taxes may be impacted by splitting up with your spouse in different ways.

The Internal Revenue Service states that divorce can affect taxes in a number of ways. For example, if you change your last name after ending your marriage, you should make sure that the name listed on your tax return matches your name in the Social Security Administration’s records, or else your refund may be delayed. Although child support is neither taxed nor deducted, people are required to pay taxes on spousal support received and are able to deduct spousal support that was paid.

Furthermore, if your health insurance coverage was cut, it is vital to ensure that you are insured in order to comply with the health care law. Sometimes, handling tax-related matters can be difficult, especially for people who have already dealt with stress due to divorce. However, it is pivotal to realize your tax-related responsibilities in order to avoid complications down the road. Whether you are unsure about the tax consequences of divorce or have any other questions related to ending your marriage, you should review your circumstances carefully. The material presented in this piece is not legal counsel.

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