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Having a divorce means that you’ll need to switch the way that you file both federal and state income taxes, especially after the first year the divorce has been finalized. If on the last day of the year you’re still married, you can still file however you want. The tax laws in every state differ, so you may need to file single or jointly. You don’t want to pay more for taxes even if the two of you can’t get along. Compromise can be reached to benefit you both.

You will usually get more if you file jointly. You tend to get more savings by filing jointly. This isn’t always the case however, so you’ll need to figure which way is better. If you file separately, you have to be cautious about the way you decide who reports both income and withholding that was taken. The income both of you make is considered community income unless there is a prenuptial agreement that says differently.  This means that both of you will need to report it. After you’ve been separated, you get to claim any income that you earn.

Your divorce settlement will also need to address various properties that you have received. For example, you don’t want to claim only 50% of the income from a rental property if you, in fact, separately own the title to the entire property. When it’s time to prepare tax documents, agree on things like various incomes and allocation of tax payments. If you can’t agree, your attorneys will have to be brought into the mix to help work them out for you.

State or federal laws can’t be broken by your agreements. Laws that concern things like child support and alimony wil need to be paid close attention to. Tax settlements don’t have to be taxing if you follow the rules and agree to agree with your soon-to-be-ex. Even if you’ve never done so in the past, your attorney of tax preparer should make the process much easier for you. Doc No. rjslhssld-sdg

Kristie Brown writes on a variety of topics from health to technology. Check out her websites on how to stop a divorce, stop divorce and how to save a marriage