Divorced or Separated? Here's How It Impacts Your Taxes!

If a couple gets separated or divorced, it affects tax obligations. The IRS considers couples married for tax purposes until a final decree is issued. After separating or divorcing, update your Form W-4 with your employer and check withholding using the IRS estimator. Certain alimony payments may be deductible by the payer and taxable to the recipient unless the payments are for child support, property settlements or voluntary payments. Only one parent can claim a child as a dependent. Property transfers due to divorce typically aren’t taxed but may require a gift tax return. For more details from the IRS: https://bit.ly/3HeJ1Zp