Brotman University – Divorce

Divorce and Taxes Owed: Who is Responsible for Tax Debt in a Divorce?

When a taxpayer files separately, it is clear who will bear the burden of any tax liability assessed by the IRS. But if you are in the middle of a divorce, owe tax debt and have filed jointly during your marriage, who pays may be less clear.

How Do I File my Taxes if I am Getting Divorced?

So you have passed the brink of no return in your relationship and decided to file for divorce. Before you do, it’s wise to make some financial preparations ahead of your court date.

How Are Transfers of Property Taxed in a Divorce?

Under 26 U.S. Code §1041, you typically have a 6-year window of time from the date your divorce is finalized to make a transfer that is not subject to taxation. Once you go beyond 6 years, you are looking at two individuals that are divorced.