Rochester Divorce Tax Attorney

Rochester Divorce Tax Lawyer

Divorce is difficult both financially and emotionally for everyone involved and can be a headache. When going through the divorce process, individuals have to worry about how assets will be split, how the children, if involved, will be taken care of, and where each spouse will live in the end. On top of all of this, taxes associated with the divorce are the last thing that Rochester citizens want to have to worry about. A divorce attorney at Trotto Law Firm, P. C. can take care of these tedious details for you so that you can heal and move on with your life.

When it comes to dividing up assets and property, as well as outstanding debts, it’s important to understand what this means for how much taxes will need to be paid. Additionally, the taxes that you will be paying after your divorce will be different than what you were paying before. Therefore, it is critical to have a knowledgeable divorce tax lawyer who can advise you on the right practices for your pocketbook and find cost-effective ways to handle transactions related to your divorce.

How A NY Divorce Tax Attorney Can Help You

A divorce lawyer who focuses solely on tax legislation can help you with your divorce tax case, no matter what the issue is. Some of the common ways a New York divorce attorney can help you are:

• Helping with asset division planning. A reliable tax attorney will sit down with you to understand your financial history and divorce situation to help you understand how you can divide assets and debts as efficiently as possible. This can help you save money that would otherwise be taxed.
• Assisting in spousal maintenance planning. There are various tax implications when it comes to spousal maintenance or alimony payments. A divorce lawyer with experience in tax law can help you understand how much money will be taken out of a spousal maintenance payment before it is received and how much the recipient will need to pay in taxes of the amount received. A divorce lawyer will also help you optimize the payments accordingly.
• Making sure you are compliant with tax laws. A divorce tax lawyer can help you understand what taxes you will need to pay before, during, and after the divorce so that you are staying in compliance with the law. They can also help you with reporting for your tax returns and helping you fill in information specific to the divorce, as well as income and deductions.
• Assisting in splitting retirement accounts. Any retirement accounts that were jointly owned during the marriage, including pension plans and 401(k)s, are subject to being divided in a divorce. Taxes may need to be paid as well in association with this division. A tax lawyer can help you with this and also help you draft and send the paperwork, called Qualified Domestic Relations Orders, needed to split some retirement accounts.
• Helping with tax planning for child support. Individuals who have gone through a divorce may have had the number of dependents change based on child custody decisions. How you file dependency has significant implications for tax deductions. A divorce tax lawyer can help you understand how child support payments and dependency status will impact your taxes.
• Helping resolve IRS tax disputes. In the case that compliance technicalities were overlooked in the process of your divorce and you are in a dispute with the IRS as a result, a divorce tax attorney can help you win your case. They will work closely with you to negotiate with the IRS and represent you in court if necessary.

A New York divorce attorney who is experienced in tax law can be an invaluable asset to you during the divorce process. They can help you optimize your property division and payment agreements to help you save money and stay in compliance with the law. Having an individual who can handle complex tax-related matters for you will give you the time and space you need to take care of yourself and your family during this difficult time.

FAQs About Rochester, NY Divorce Tax Law

How Much Will I Pay for a Rochester, NY, Divorce Lawyer?

The amount of money that you will need to pay to hire a divorce lawyer in Rochester, New York, will vary depending on whether or not your divorce is contested, the complexity involved in your divorce situation, how long the attorney has been practicing, and whether they are experienced in certain areas. Rochester divorce attorneys are typically paid by the hour, and these amounts can range from a couple hundred to a couple thousand per hour. It’s important to ask potential attorneys upfront what their fees are so that there are no unexpected surprises after the case is closed.

Who Will Have to Pay for the Attorney for My New York Divorce?

If you are getting a divorce in the State of New York, it is likely that you will be paying for your own attorney and that your spouse will cover the payments for their attorney. However, in some cases, one spouse might be required to pay for the other spouse’s attorney. This can happen if there is a large gap in income between the two parties or if one spouse committed a particularly wrong act.

Is a Divorce Settlement Taxable?

In New York, usually division of property associated with a divorce settlement is not subject to taxes. However, there are some particular situations which may lead to tax complications. It’s important to note that payments such as spousal maintenance are considered to be income for the receiving spouse and tax deductible for the paying spouse. Child support, on the other hand, is usually not considered income or tax deductible.

What Happens to IRS Debt in a Rochester Divorce?

In a Rochester divorce, any outstanding liabilities, such as IRS debt, are typically subject to division, especially if the liability was shared jointly. It is possible to come to an agreement in which debt will be split, and each spouse will make payments accordingly. However, the IRS does not have to adhere to the divorce agreement, so they may still recognize a certain debt as joint, even if the divorce agreement states otherwise.

Take The Tax-Related Confusion Out of Your Divorce

At Trotto Law Firm, P. C., we merge our deep knowledge of divorce law and tax law to help generate optimal solutions for your complex tax divorce case. A Rochester divorce tax lawyer from our firm can help you avoid unintended tax repercussions and inform you on decisions you can make during your divorce to reduce tax liabilities in the future. Get in touch with one of our lawyers today to learn more about how divorce tax law services.