Need stategy for taxes in a divorce settlement

[Julerie]

What is the name of your state? California

Divorce won't be finalized until Jan or Feb. 2003. Husband makes 2 or 3 times more income than I do. Am I going to have to pay taxes based on his higher tax rate? I understand we will have to file"married" in 2003.

I would prefer no further contact with this unkind man, I don't know what stategy to use in a settlement to avoid interacting with him, in regard to taxes next year. Nor do I know what to do to keep my taxes down. Will filing separate- married help me? What do I do now in creating a divorce settlement, that will help me next year?

Thank-you!

 

[roamer5]

Need some more info to help you. What is your living situation this year? Is there a separation agreement? Are there dependents, and if so, who did they live with this year?

Here are some general rules:

The custodial parent (CP) is allowed to claim the dependents, unless the divorce decree unconditionally allows the non-custodial parent (NCP) to claim them.

The CP is the one who has physical custody unless the divorce decree specifies otherwise.

The parent with whom the children actually reside usually can file as Head of Household.

 

[Julerie]

Meed stategy for taxes in divorce settlement..more details included

No kids, no paperwork filed for a separation. Paperwork filed for initiating divorce in July. Have lived separately since June. How do I protect myself, for the 2003 taxes? What should be written into the divorce settlement?

Thank you

 

[roamer5]

Each tax year of and after the divorce decree, you would file as single. Prior to that, you'd have to file jointly or separately.

So, if your divorce is finalized any time this year, you can file as single in 2003 for tax year 2002.

Alimony received counts as income, and alimony paid is a deduction.

 

[abezon]

Figure out how much ex's taxes are if you file separately. Then compare how much tax he'd pay on *his* income if you file jointly. If he makes 2-3 times what you make, he'll save a bundle by filing jointly. Make him pay some of this bundle to you before you sign the return.