Ohio readers who have gone through the divorce process know that for some couples there is a need for one of the spouses to receive spousal support. In many cases, the spousal support is ordered as a part of a final divorce decree because one of the former spouses is unable to economically support themselves alone. This order is common, especially for those who have had long marriages.
Last week we talked about taxes as it related to child support and spousal support. This week, we will focus on taxes and property division. Property division is among the most important aspects of any divorce. It is not uncommon for many divorcing Ohio couples to enter into a property division agreement without thinking of the long-term ramifications that the division may have on their tax status. However, by failing to take tax implications into account, they may be exposing themselves to future financial issues.
Divorce can be challenging enough on its own, but throw in the financial complexities it can cause for those with high assets and the situation can become an even bigger headache. One particular complication divorce can cause comes in a form that most people probably don't think of right away: the IRS. Tax time doesn't have to be a complete nightmare for divorcing Ohio couples if they keep a few key things in mind, especially when it comes to their filing status, child exemptions, alimony and child support.