Tax Implications of Divorce
Our experienced Belleville, IL divorce attorneys know tax law
Wondering what the tax implications could be for you due to your divorce? Worried you could end up losing out after your divorce due to having to pay higher state or federal taxes in Illinois? Get the facts from an Illinois divorce lawyer who knows how the system works here. Talk to an attorney at Courtney ∙ Clark Law, P.C. in Belleville, Illinois.
For more than three decades, our knowledgeable legal team has been helping people understand the tax implications of their divorce agreement. Our law firm has a well-earned reputation for considering the financial implications of divorce and explaining these issues to our clients. That way, they can maximize their financial settlement and minimize the amount they pay in state and federal taxes.
Common tax implications of divorce
Before signing any divorce agreement, it always pays to consider the tax implications of such an agreement. Issues that should be considered include:
- Is your financial settlement taxable? Most alimony/maintenance payments are subject to state and federal taxes.
- Can you minimize your tax burden if you file for divorce this year? Or should you wait until the following calendar year to formally file for divorce?
- If you have children, should you or your spouse file a dependency tax deduction for your child? This deduction could benefit one spouse more than the other depending on your financial situation.
- Who should deduct mortgage interest or other property tax deductions as part of your divorce? You or your former spouse?
- If you own any property, should you sell your property as part of your divorce? And if so, what would the tax implications be for selling any real estate?
- If you own property, should you transfer the property as part of your divorce?
This is just a small sampling of some of the tax issues you should consider before formally filing for divorce in Illinois. That's why it's important to meet with an attorney at our law firm as soon as possible.
We're here for you when you need us
Tax law can be complicated under normal circumstances. Add in divorce law and it can be very confusing to know what the right thing to do is. That's why we take our work so seriously at Courtney ∙ Clark Law, P.C. We know that the decisions you make now can have a lasting impact on your financial situation for years to come.
We can walk you through all the options available to you. Then we can explain which ones make the most sense and do our best to minimize your tax burden after your divorce. Contact us and schedule your free case evaluation with an experienced divorce attorney who puts your best interests first.