Will County Divorce Tax Issues Attorneys
Joliet Divorce Attorneys Who Understand the Tax Implications of Divorce
The divorce process can have a dramatic emotional impact on all involved parties. It can also create a number of financial challenges related to tax obligations. At the Davi Law Group, we work hard every day to help our clients through every aspect of divorce, including its effect on tax considerations and possible relief. Our attorneys recognize the importance of working with qualified financial professionals to ensure a comprehensive understanding of the situation and identifying potential advantages.
Our team provides each client with a clear overview of all relevant concerns, allowing them to make informed decisions regarding asset division, debt allocation, spousal maintenance/alimony, and business valuations. In addition, we realize the impact that parentage and other child-related concerns may have on tax obligations, as such proceedings may result in custody and child support orders. No matter what type of family law matter you may be facing, the help of skilled attorneys can be invaluable during a difficult time.
Filing Income Taxes After an Illinois Divorce
Depending upon the effective date of your divorce, you may have to choose whether to file your annual tax return jointly with your ex-spouse or separately. Each may offer distinct advantages based on the circumstances of your case and our attorneys can help you determine the best option. In most cases, child custody arrangements will have an even larger impact on your tax obligations. If you are the primary custodial parent, meaning the child is with you more than half of the time, you are likely eligible for exemptions and credits that will reduce your tax liability. There may be situations, however, in which you choose to release your eligibility, allowing the non-custodial parent to claim the child-related exemptions.
Other Tax Concerns
As you and your spouse determine how to divide your marital property, it is important to realize the potential tax implications for the future. While, in general, divided marital property is not subject to immediate taxes during the division process itself, maintaining the property in the years to come may impact your tax liability. Understanding how such taxes will affect your financial situation is important to achieving the equitable distribution of marital assets required by law.
Likewise, the payment and receipt of spousal maintenance may have tax implications as well. Maintenance payments are considered tax-deductible for the payor spouse, and are taxable income for the recipient. Unallocated support, which combines non-taxable child support and taxable maintenance into a single revenue stream, will also affect the tax liabilities of each party. Whether you are required to make payments or are receiving them, the attorneys at the Davi Law Group are equipped to help you understand the possible tax benefits available in either situation.
If you would like more information regarding the potential tax considerations in your divorce, contact our office at 815-582-4901. We offer a no-charge introductory consultation so that you can meet with our team and discuss your case, a value of approximately $325.00. You will receive an honest assessment of your situation and our attorneys will work with you in determining the best course of action. Call to schedule your appointment today at one of our four convenient locations.