When you are going through a divorce, there are many things that you have to think about. This encompasses a lot of different points. One of the ones that you might not have thought about is how the divorce will impact your taxes. Of course, every situation is different so you should make sure that you consult with an attorney and an accountant prior to making any decision about your tax situation.
How should we file our income taxes?
This depends on the circumstances. If you and your ex were married for the entire tax year, you would likely file a married return. This can be either a joint return or a separate return. This is one of those situations in which you need to consult an expert to determine what to do.
What should I do if we file a joint return?
If you file a joint return, you need to make sure that you go over it carefully. The Internal Revenue Service (IRS) is going to assume that you reviewed the return when you sign it, so you can be held liable for any misstatements or issues with the return.
Who claims the children?
If you are filing separate returns, whether as a married return or on future returns, you need to know who has the right to claim the children. Typically, the custodial parent would claim the children. In some cases, this is covered by the child custody order. Be sure that you understand tax codes and check your custody order before you make any decisions about this.
As with all aspects of a divorce, you have to look at the options and determine which option is the one that is appropriate for your case. Be sure to look into each situation before you make a determination.
Source: FindLaw, “Getting a Divorce? Top 3 Tax Tips to Consider,” Christopher Coble, Esq., accessed March 03, 2017