Divorce is difficult for a number of different reasons. If you experience a divorce, something you may not have given much thought about is filing your taxes. Filing your taxes without a spouse is sure to look different just like much of your life now. To help you navigate some of the changes you will encounter at tax season, Mecham Dicus & Company is here to walk you through them.
Ask a Professional How Getting Divorced Affects Your Taxes
One thing that is important to note here is that you shouldn’t probably attempt filing your taxes for the first time after a divorce by yourself. There are so many differences with your taxes after experiencing a divorce, that you need professional help to make sure you aren’t overpaying or failing to pay any taxes that you may owe.
What Filing Status Should I Choose?
Now that you aren’t married anymore, things look different all around, including your taxes. If you got divorced at all throughout a calendar year, you will be filing without your spouse the following spring. Even if the divorce was finalized on December 31st of the year, you will be filing without a spouse.
Tax Implications of Child Support
You need to know that child support is not a tax deductible expense to the person who is paying it. You will also not get to deduct any alimony that is paid unless your divorce was finalized by the end of 2018. If your child support is rolled together into “family support” it is fully taxable to the person receiving it and is deductible to the person who is paying it.
Who Can Claim a Child on Taxes?
You need to look at your divorce agreement to see who can claim the children on their taxes as both parents can’t do it. Whoever has the children the most usually has the ability to claim them on their taxes as a dependent. If you have the right to claim your children and your spouse is threatening to claim them instead, it may be a good idea to get your taxes done early in the year before they have the chance.
Should I Change My Tax Withholding After Divorce?
Whenever you experience a big life change like a divorce, you need to revisit your tax withholdings. Update your Form W-4 with your employer so that it mirrors your life change, how many dependents you have and so on so that you are ready for tax season.
Tax Preparation, Filing, Resolution & More in Summerlin, North LV, Henderson, Lone Mountain Village & Greater Las Vegas, Nevada
Because there are so many tax implications that come with a divorce, it is something you may not want to navigate on your own. At Mecham Dicus & Company we have the experience and expertise needed to help you make the tax changes that are necessary to ensure you aren’t in over your head once tax season rolls around. It is our goal to help you get a return that is as high as possible or avoid paying more taxes than is absolutely necessary. Call us today!