What Are the Tax Consequences of a Divorce in Massachusetts?
In addition to the many complex issues that must be decided upon in a divorce, there comes a need to address the tax consequences of a marital dissolution. It is important to have a skilled lawyer who is knowledgeable in both family law and tax law issues, in order to minimize the tax penalties in your divorce.
As the founder of the Law Office of Bruce A. Gage, I offer clients the combined benefit of having a divorce lawyer and a tax attorney in one. As a skilled Andover tax and divorce lawyer, I provide a strategic legal plan that utilizes my family law experience, as well as my advanced tax law training. When considering the terms of your settlement agreement, I will take all relevant factors into account and address the potential for taxation. By looking at your case in a holistic manner, we can create a plan that will provide the most benefit.
There are typically three main tax concerns that a divorcing couple in Massachusetts needs to consider:
- Property settlements: While transferring a home title through a divorce is a nontaxable event in Massachusetts, I help clients look at issues of unpaid property taxes, liens and the tax consequences of selling the homestead.
- Alimony: If you receive spousal support in Massachusetts, this money will be taxed as income. I help clients create a settlement plan that will address the tax issues of paying or receiving alimony.
- Qualified domestic relations order (QDRO): A QDRO recognizes an individual's right to receive payment from his or her spouse's retirement or pension plan. If you need to liquidate a pension during a divorce, there will be a tax penalty. By providing my clients with settlement options, we can work to reduce overall tax payments, even if your divorce order includes a QDRO.
I also help clients understand the implications of filing taxes after divorce and advise on best options for minimizing tax payments.
Nashua Alimony Tax Attorney · Tewksbury Divorce Lawyer
From my office in Lowell, Massachusetts, the Law Office of Bruce A. Gage, I represent clients in communities throughout the Greater Boston area and New Hampshire. Contact my firm toll free at 877-829-0831 to discuss your family or tax law case with a skilled and dedicated Lowell tax and divorce lawyer.
My office is conveniently located in the Saab Building in downtown Lowell and operates between 8:30 a.m. and 5 p.m. Monday to Friday, and 8 a.m. through noon on Saturdays. Evening appointments can be arranged. My firm accepts credit cards and offers flexible payment arrangements.
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