There aren’t many times in which people will be instructed to try to rush their divorce. Now is one of the unusual times in which people might need to get things taken care of immediately.
Starting on Jan. 1, 2019, there isn’t going to be a tax break for alimony payments. The only way that the tax break can be used after that is if the divorce settlement was reached prior to Dec. 31, 2018.
It is important to note that not all divorces include alimony payments; however, situations in which one spouse makes a considerable amount more than the other might include them. In some cases, these support payments can span years so being able to enjoy a tax break during that period might be beneficial.
Once the new law goes into effect, it is expected to lead to more contentious divorces since there won’t be any tax write-off. This could mean that the spouse would pay might fight harder to not have to pay as much or as long.
For now, people who are seeking a divorce, trying to make it happen before the end of the year will be a priority if there is a chance that alimony will be a part of it. Remember, the minimum waiting period is 60 days in this state, but that is only for couples who don’t have minor children. That increases to 90 days if there are children involved.
Even if you are trying to beat the end-of-the-year deadline, make sure that you aren’t moving so quickly that you are making decisions hastily that might have a negative impact on you later.