Oakland County, MI Tax Issues In Divorce Attorneys

Lawyers for Divorce Related Tax Implications Serving Novi, Canton and Farmington Hills

When you are going through a divorce, the reality of the situation can have an enormous emotional impact on your entire family. You, your children, and your soon-to-be ex-spouse may face serious challenges throughout the process. The financial effects of a divorce can also be severe, especially if you are not properly prepared. At Elkouri Heath PLC, we are equipped to help you navigate your divorce with the proper attention given to the tax considerations associated with ending a marriage. Our skilled attorneys will work with you in creating a suitable divorce settlement and drafting a plan to meet your tax obligations both now and over the long term.

Trusted Family Lawyers in Macomb

Attorneys Susan Elkouri and Symantha Heath have been serving families in southeast Michigan for more than two decades. With nearly 50 years of family law experience, we understand your need for responsible guidance and cost-effective divorce solutions. We recognize the importance of listening carefully to our clients so that we can better address their needs and concerns. Our team will help you understand all of your available options and assist you in making informed decisions about all aspects of your divorce that could affect your tax liabilities, including the division of property and debt, child custody and support, and spousal support.

Income Taxes and Divorce

Once your divorce finalizes, you may need to determine whether to file one last annual tax return jointly with your ex-spouse or separately. One option or the other may offer substantial advantages and savings depending on your financial situation. Filing a joint tax return, however, can be very challenging. Our knowledgeable attorneys can help facilitate an agreement that offers benefits to both parties and to address potential concerns before they become bigger problems.

Your child custody arrangements will also impact your tax obligations. In most situations, a parent with primary legal custody is able to claim child tax credits and exemptions. Sometimes, however, a more creative arrangement is possible that could provide tax benefits for each parent.

Property, Child Support and Alimony Considerations in Wayne County

Other factors could also have an effect on your tax liabilities following your divorce. The portion of the marital estate—including property and debt—that you receive during the proceedings will likely have tax implications. If you need to refinance the family home or gain a larger interest in a family-owned business due to your divorce, your tax obligations will probably change.

Spousal support, or alimony, is generally a tax-deductible expense for the paying spouse and taxable income for the recipient. Child support, however, is not taxable or tax-deductible. There is also an option called unallocated family support, in which child support is combined with spousal support and taxed at the lower rate of the receiver. When set at the right amount, this option has benefits for both spouses. Whether you expect to receive support or pay it, the team at Elkouri Heath PLC will help you minimize your tax liabilities while remaining in full compliance with all applicable laws.

Call 248-344-9700 Today

Complex financial considerations during a divorce require the guidance of a skilled legal professional. Contact our office to learn more about how we can help you. Call 248-344-9700 to schedule a free confidential consultation today. Elkouri Heath PLC is located in Novi, MI, and we serve clients in Livonia, Canton, Farmington Hills, Northville, Washtenaw, Macomb, Livingston, Oakland County, Wayne County, and throughout southeast Michigan.