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?

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

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 … Continue reading “NEW YORK: DIVORCE & The GIFT TAX”

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 … Continue reading “Divorce-tax fraud: Over-stating taxes and other tricks”

Divorce settlements and tax consequences: alimony vs. property settlement

If it is alimony it is taxable to the recipient and tax deductible by the payor. If it is a property settlement it is not taxable or deductible. How can you know if you have alimony which is taxable vs. property settlement which is not?

If it is alimony it is taxable to the recipient and tax deductible by the payor. If it is a property settlement it is not taxable or deductible. How can you know if you have alimony which is taxable vs. property settlement which is not?

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 … Continue reading “Should people pay a tax to get divorced?”

NEW YORK: Are society wives (like Nancy Silverman and Marie Douglas David) really just female gigolos?

I was aghast when an acquaintance declared that people like Nancy Silverman, Marie Douglas David and Slavica Ecclestone, are nothing but a bunch of “female gigolos.” All three are in the midst of high profile divorces from their very wealthy husbands. None of these women seemed to earn as much as their husbands do. In … Continue reading “NEW YORK: Are society wives (like Nancy Silverman and Marie Douglas David) really just female gigolos?”

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 … Continue reading “Who gets the tax exemption after a divorce?”

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 … Continue reading “Divorce aid: Will Obama’s stimulus package aid divorcing couples?”

Divorce and taxes: How paying child support and alimony can reduce your tax bill

It’s tax season, baby! Yes I know. It’s a $%#^ing nightmare. But let’s not curse. Okay. Okay. Let’s see. Let’s see if we can figure out this issue. It’s very convoluted and I hate it, frankly, this tax business. Ew. But, paying child support is supposed to be good for your tax bill. It reduces … Continue reading “Divorce and taxes: How paying child support and alimony can reduce your tax bill”

On Taxes and Divorce: What are you responsible for?

Everybody knows that next to shagging rights, the right to file a joint tax return with one’s spouse is one of the best perks of holy matrimony. But it can also be a landmine when you are dealing with a less than honest spouse who tries to cheat the IRS. If you knowingly go along … Continue reading “On Taxes and Divorce: What are you responsible for?”