Nicaud & Sunseri Law Firm, LLC
Southshore Local 504-662-9596
Northshore Local 985-218-0494
Menu Contact
Making the ComplexUnderstandable

Taxes and the newly-divorced person

How much your divorce increases or decreases your tax burden may depend on whether you and your ex or soon-to-be ex can work together with a tax professional to ease the impact on both of you. Following are some key areas where divorce can impact your taxes.

Filing status will depend on when your divorce was final and, if you have children, how much of the time they lived with you last year. If you were legally married at the end of the year, you can file jointly. If your divorce was finalized last year and your children lived with you for over half the year, you can file as "single head of household" if you claim them as dependents.

If you are receiving spousal support and/or child support, you need to claim it as income and pay taxes on it. If you are the payor, it is tax deductible. In either case, the amount must be detailed in the divorce agreement.

What you do with your home can make a big difference in your taxes. If you continue to own your home jointly, you can split the deduction for mortgage interest payments. If one spouse got the home in the divorce, he or she can claim the mortgage interest as a deduction even if that spouse is not making the payments or living there.

If you sold your home at a profit, capital gains taxes may apply. How much you pay depends on whether you file as a single person or jointly. If you sell your home during a divorce, it's best to get some financial advice to help you avoid paying more taxes than you need to.

When it comes to claiming children as dependents, this is also something that it's preferable to work out ahead of time to minimize your tax burden. If they live with you for more than half the year, you can claim them as dependents. However, some couples choose to let whichever spouse makes less money claim them.

If you don't already have a tax advisor, your Louisiana family law attorney may be able to recommend someone to advise you on these and other financial decisions. If you didn't consult with a tax advisor during the divorce, you may still benefit from talking with one as you file your taxes for the first time as a divorced person.

Source: Forbes, "Getting Divorced? 8 Things You Must Know About Taxes" Emma Johnson, Jan. 19, 2015

No Comments

Leave a comment
Comment Information
Email Us For A Response

How Can We Help?

Bold labels are required.

Contact Information
disclaimer.

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.

close

Privacy Policy

Office Location

Covington Office
7020 US-190
Covington, LA 70433

Fax: 985-624-9698
Map & Directions

Metairie Office
3000 18th Street
Metairie, LA 70002

Toll Free: 800-230-7591
Phone: 504-662-9596
Phone: 985-218-0494
Fax: 504-833-2843
Map & Directions