Do American divorce lawyers have a legal duty to report tax cheats and tax dodgers?

a UK law, dating back to 2003 makes it a legal duty for divorce solicitors in the UK to report “suspicions” of tax dodging and tax cheating to the National Criminal Intelligence Service pursuant to the Proceeds of Crime Act. This anti money laundering legislation “applied to the transfer of assets from a person to their ex spouse on divorce.” Do American divorce lawyers have a similar duty?


NEW YORK DIVORCE & THE GIFT TAX With some exceptions, any transfer of property is subject to the gift tax, including transfers made pursuant to a settlement agreement in a divorce action. That is the general rule. So generally, your settlement agreement would, or is supposed to be, subject to the gift tax as prescribed by […]

Divorce-tax fraud: Over-stating taxes and other tricks

DIVORCE TAX FRAUD: OVER-STATING TAXES AND OTHER TRICKS Has your spouse used the tax system to defraud you out of money you should have gotten in your divorce settlement? Here’s one trick to look out for: some spouses (the one who is smart about money and taxes) “over-state” their income for that year they are […]

Should people pay a tax to get divorced?

Divorce is the ultimate sin. Shouldn’t transgressors pay a “sin tax?” People pay taxes on fat foods. They pay taxes on cigarettes. Why shouldn’t they pay a tax on divorce? What is more reprehensible from a moral and religious standpoint than divorce? Other than, maybe, fornication? But how would it work? I don’t know. Maybe […]

Who gets the tax exemption after a divorce?

Usually, if there is more than one child, and an “even” number of children, the parents share the exemptions equally. If there is an “odd” number of children, then the parent who pays child support/alimony would usually get the extra exemption. If there is just one child, the parents tend to alternate from one year […]

Divorce aid: Will Obama’s stimulus package aid divorcing couples?

DIVORCE AID on it’s way? Economic stimulus bill, economic stimulus plan, stimulus package…that’s all I’ve been hearing in the news lately. Stimulus. Stimulus. Stimulus. Everybody is looking for their piece – banks, states, tax payers, students, small businesses and especially people in the Upper Middle Class tax brackets. But what about people who are getting […]