Divorce And Tax Effects
One of the last things people think about when considering divorce is the tax implications. However, the negative effects on your taxes may be significant if you are not prepared for them.
At Russell W. Ray, PLLC in Springfield , we have spent decades turning our law firm into one of Northern Virginia’s best destinations for family law representation. Attorney Russell Ray has over 30 years of experience and knows the tax consequences a divorce settlement can have. We will help you understand them too so you can plan ahead for your divorce and post-divorce life.
What Is Taxable And What Is Not?
Almost every aspect of your divorce will affect your next tax filing. For example:
- Child support payments are not taxable income or tax deductible for the recipient or the payer, respectively.
- Attorney fees related to child support are tax deductible.
- Spousal support recipients must report the payments as taxable, and payers can deduct the expense, provided certain requirements are met.
- A child custody order can affect which parent may claim the child on his or her tax return.
- The property division process will have tax implications if property or cash are transferred.
While we can help you with many basic questions, we do not give out tax planning advice. However, we will be happy to refer you to any number of experienced accountants to help you with more specific needs.
Discuss The Financial Implications Of Your Divorce
We serve the areas surrounding Fairfax County, Prince William County and Northern Virginia.