Divorce is something many Montgomery, Tennessee, residents will have gone through in the last year. With many American marriages ending in divorce, a lot of individuals will file their tax returns this year as single for the first time in awhile. There are a few tips to follow when it comes to filing taxes for recently divorced individuals. This advice can potentially prevent higher taxes.
If any individuals have finalized their divorce by the end of 2012, they can file as single on their tax return. Picking the right filing status is important. However, in addition to any filing status concerns, newly divorced individuals may have other questions about their taxes. For instance, many people wonder if child support is deductable or if they can claim a child as a dependent. In most cases the answers vary. When it comes to child support, neither spouse may deduct it. Also, if one parent is the custodial parent, he or she may claim the dependent exemption for their children which in many cases, lowers taxes.
When it comes to alimony, there are several outcomes that can occur. If one spouse paid alimony, that spouse may deduct the payments. On the other hand, the spouse receiving alimony must claim it as income. Overall, to ensure the best scenario, it is highly recommended that individuals seek out a financial adviser.
Taxes are just one of many considerations people will have when going through a divorce. If any Montgomery, Tennessee, residents are struggling with alimony, child custody, child support or general divorce problems, an experienced divorce attorney may be able to help sort through any issues. There are numerous ways to get the best out of a divorce both financially and mentally.
Source: Forbes, “Taxes And Divorce: 6 Tips For Women,” Kerry Hannon, March 7, 2013
