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Posts tagged "taxes"

How to handle taxes after a divorce

While most residents of Texas who file for divorce understand their finances are going to change as a result, many do not consider the impact that divorce will have on how they file their taxes. The choices individuals make regarding their divorce will often have long term effects, so people should be proactive about reducing their tax burden. In addition to changing the status they can file under, divorce will also impact what deductions people have access to, especially if they have children. Following a divorce, individuals are naturally no longer able to benefit from a married filing status. Some are still able to file as "Head of Household," which usually carries a lower tax rate, but only if they meet certain criteria. Deductions related to children are another huge change in the way that divorced individuals can file their taxes, and the tax deduction for each child generally goes to whomever the child spends the most time with.

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