Filing for Divorce and Taxes

Tax consequences impact decisions in a divorce, settlement agreement, or marital dispute resolution.  For an individual to have head of household tax status he or she must meet a marital filing status test and a household maintenance test.  Federal income tax filing status is determined by your marital status on the last day of the tax year.

Filing as Head of Household

To be considered as tax filing head of household status, you must meet all these tests:

• You were unmarried or considered unmarried on December 31^st
• You paid more than half the cost of keeping up a home for the year

Alimony Tax Deductions

When filing taxes after divorce, alimony is included in the taxable income of the recipient and you may receive a tax deduction on alimony if you meet the following six requirements:

• You and your spouse or former spouse do not file a joint return with each other.
• You pay in cash (including checks or money orders)
• The divorce or separation instrument does not say that the payment is not alimony
• You and your former spouse are not members of the same household when you make the payment
• You have no liability to make payments after the death of your spouse or former spouse
• Your payment is not treated as child support

Filing for Divorce and Taxation Legal Help

If you have questions about filing taxes after divorce, you should consult with an attorney who specializes in divorce cases.  They handle these issues every day and can provide you with valuable information.