Divorce & Taxes
Know what divorce is filled with? Bad news. For all that divorcing people gain, like new relationships, peace of mind, emotional health, and new beginnings, divorces are still filled to the brim with loss. Divorced adults lose money. Homes. Friends. Family members. Their sense of self. Confidence. Stability. I could go on and on. Having worked with divorcing people for nearly 20 years, I can tell you that most people go on to live better, more fulfilling lives that bring them joy…but that exciting future doesn’t change the difficulty of living through the divorce.
But here’s the good news! Divorce often comes with wonderful tax breaks for people…and this is the time of year to reap those benefits. About time, right?!?!? Exactly. In July of 2021, Kiplinger put together a wonderful article designed to make people aware of the most overlooked tax breaks for newly-divorced people. Keep in mind, these are not ALL of the advantages…just the most overlooked. To make sure that you reap every tax benefit available to you, please do work with your tax preparer, accountant, and financial planner.
The tax breaks identified by Kiplinger include:
Jason Castle is a family lawyer who specializes in high-conflict cases. He's also a former prosecutor & social worker. Hear his latest divorce thoughts!