Subscribe

The New Tax Bill & Alimony

It’s a new year and we thought we would start it off with an article about something that’s been all over the news for weeks – the new tax bill.  Some love it.  Some hate it.  Some have no idea that there is a new tax bill.  One thing is for sure: there will be changes.  How will this new tax bill affect you if you are paying alimony?

What’s It Like Now?

Under the former tax bill, and for a short period of time moving forward, the payee (the person that receives the alimony) was required to claim these funds on his/her tax return as income. Potentially, this money required payment of taxes by the payee (albeit at a lower tax bracket).  On the other hand, the payor had the ability to deduct the alimony from his/her income.  Potentially, this money reduced the payment of taxes by the payor.  In English?  If husband paid alimony to wife, wife had to claim the payments as income on her tax return.  Husband was able to deduct these payments from income on his tax return.

The mandate to pay taxes on alimony (for payee) and/or to deduct payments of alimony (for payor) created obligations for each party that each may or may not have liked, but had to consider when negotiating terms of divorce.  It also brought the ability to negotiate various scenarios that could benefit the “family” as a whole.  For example, instead of payor paying child support (that payee does not have to claim as income) at a lower amount, payee might choose to pay alimony at a higher amount. Here, the “family unit” would pay less taxes overall and the payee would receive more money.

What Is The New Tax Bill?

First, do not panic.  If you already have a (final) order for alimony, you are not effected by this change in the tax law. You are “grandfathered” in.  As a payee, you remain required to claim the alimony as income.  As a payor, you  can still benefit from these deductions.

Second, the change does not go into effect immediately.  If you have a temporary order, are in the midst of litigation and/or are just getting started with your divorce action, you need to be aware of the timeline for the change in the tax treatment of alimony.  If you sign an Agreement and/or obtain a (final) Order for alimony before the end of 2018, you will be able to benefit from the alimony deductions. Simply stated:

  • If your order pre-dates December 31, 2018, you are required to claim alimony as income as a payee and permitted to deduct alimony payments as income as a payor.
  • If your order is on January 1, 2019 or thereafter, alimony is no longer considered income for a payee and is not deductible from income for a payor.

What If I Am Considering Divorce?

If you are in the midst of a divorce or considering divorce, contact me.  I am ready to help you plan for the new tax law and address all of your concerns.  I begin with a free phone consultation.  If it seems that I am well suited to your case, we can then meet and further discuss the case.  Contact me to get the process started.

Contact Us

 

Filing a Protective Order

Filing a protective order (209A) can be a scary time.  Maybe you aren't sure where you will go.  Maybe you have children to consider.  Perhaps your family is not as supportive or available as you need.  There are places and ways to get help so that you are not alone. ...

If I signed my parental rights away can I get them back?

I often get questions from overwhelmed parents who feel that, for one reason or another, it would be in the best interest of everyone concerned, if they just give up their parental rights (see my other article for more details on this complex subject).  However, many...

Arsdale Appeals and Alimony

Recently two new cases came down from our SJC that you should be aware of, both relating to alimony. The first, SUSAN VAN ARSDALE vs. WILLIAM VAN ARSDALE, focused on the constitutionality of durational limits of alimony applied retroactively.* To examine the...

Massachusetts: The Alimony Reform Act

A recent hot topic in family law is alimony. I’m sure a lot of you have heard of the proposed legislation known as the Alimony Reform Act. This Act aims to define, clarify and guide the Courts, and the litigants, regarding certain aspects of alimony. Amongst other...

Physical Custody

Series Part II - Physical custody/Residential responsibility Often people come to me and want “sole custody” of their child.  I wrote last week about sole legal custody (MA) and decision making (NH).  This article will continue that series discussing  physical custody...

Parenting During COVID-19

How do I handle parenting time during COVID-19 and a stay-at-home mandate? The world is abuzz amidst COVID-19 and daily life seems to have changed for most of us. In fact, it's continuing to change on a regular basis.  This is a new situation - one that we have never...

Post Divorce Parenting: Helping Your Child Succeed

Life for a child of divorce can feel like a war zone. They often feel torn between two people who have completely different opinions and different life styles. The rules can vary from household to household which leaves the child with a sense of confusion and anger....

What are temporary orders in Massachusetts?

What are temporary orders in Massachusetts? ​When a divorce begins, rarely do the parties consider temporary orders in Massachusetts to be a necessity, however they ask the court for many things.  When the divorce begins, the parties rarely sit in a position to agree...

Am I Going To Jail for Shoplifting?

Many times I speak to a new client that is charged in a criminal case and their main concern is “am I going to jail?”   That is a logical question when you commit a criminal act.  It is entirely dependent on a number of key factors. Let me guide you through the...

Supreme Judicial Court Announces Interim Procedure for Attorney and Self-Represented Party Participation in Juror Voir Dire

Supreme Judicial Court Announces Interim Procedure for Attorney and Self-Represented Party Participation in Juror Voir Dire BOSTON, MA – The Supreme Judicial Court today announced an interim procedure to implement a new statute, St. 2014, Chapter 254, Section 2, which...

Divorce: Moving on When Others Won’t

Divorce is rough.  It's an emotional roller coaster for everyone involved.  Just getting to the point where a couple decides that divorce is the only solution left is often devastating.  After the dust settles, and the divorce is completely finalized, both parties are...

What Constitutes Parental Abduction?

It's a sickening thought, wondering if your child may be abducted by your ex-spouse and taken without your consent, outside of the court's order, maybe even across state lines. Parental abduction is a form of kidnapping in many states.  But what are your legal rights...

You Want Me to Communicate with Her? You Don’t Know My Wife!

Sound familiar?  I hear this comment on a regular basis.  It seems counter intuitive to ask that a couple going through a divorce, sometimes a contested and harsh divorce, do the unthinkable - talk to one another.  But that's exactly what I ask of my clients.  You...

Should I contact an Attorney about Divorce?

If you’re having trouble in your marriage, you feel overwhelmed.  You feel like it's going to get better, yet it never does.  Your friends and family may be unaware of the true depth of your situation.  Often this is when you may think: "should I contact an attorney...

Massachusetts: Parent Education Program Attendance

All parties to a divorce action in which there are minor children, are ordered to attend and participate in an approved Massachusetts Parent Education Program. This requirement applies to divorces brought under Ch. 208 §1 (fault divorces); and Ch. 208 §1A and §1B...

Why do I need a Will?

Why do I need a Will? Welcome back to my series on estate planning. In case you are just joining me, I want to let you know that we are mid-series in a string of articles about estate planning. Page back to Why do I need an Estate  and see what you’ve missed and stick...

Domestic Abuse During a Pandemic

The year 2020 is now behind us but in many ways, we are still living through a full scale pandemic.  COVID-19 hit this world  and affected us in a large number of ways we did not expect.  For many, being forced to stay in their homes, brought on anxiety, depression...

What To Do (and Not Do) If Your Spouse Is Cheating

It’s a difficult prospect to think that your spouse may have strayed from your marriage.  Most people find this shocking and upsetting, not knowing what to do (and what not to do)  if your spouse is cheating.  It's hard to decide at that moment about your marriage,...

Filing a Protective Order: Preparing to Leave

Filing a protective order is an extremely difficult decision.  It takes a toll physically and emotionally on a person.  After the filing, many decisions still have yet to be finalized.  This article is not intended to override your existing plans regarding self help;...

Can I sign over or terminate my parental rights?

Often I have people call me to discuss “signing over their parental rights” in hopes that this will either 1) end the drama that happens when they visit with their child or 2) end their obligation to pay child support. This is a difficult question to answer in a...

Quality Time With Kids

Children of divorced or separated parents have a bum rap.  There is just no other way to state it.  No matter what parents do, kids dream of having mom and dad together.  Behind the scenes this is not always the best solution for the children so what is the best plan...

Paying Child Support Without a Court Order

Paying child support without a court order Paying child support without a court order is a question that comes up very often in my practice.  This can apply anytime there is a child between two people, whether the couple is married, or unmarried.  Here is a common...

What Happens If a Spouse Dies During Divorce

Over the past few days, we’ve seen a “celebrated” story that reminds me of a topic that arises every so often within my practice.  Have you seen the stories about Lamar Odom fighting for his life after being found unresponsive earlier this week?  The media reports...

Save Money During Divorce

How to Save Money During Divorce Gather/organize/prepare. During the process, there will be requests for information and documents. When you receive these, take the time to gather everything, organize it and prepare it in accordance with your attorney’s directions.  ...

What is the role of a Guardian Ad Litem in Massachusetts?

I recently received a question on our website about how much input a GAL (Guardian Ad Litem) has with a judge during a divorce and custody case.  That's a complex issue so rather than write a quick answer to the question, I decided to write about it here on our blog....

Should I Use Software Law Rather than an Attorney?

When I was in law school, my brother gave me a box of software used for estate planning as a gift. He thought that since I was in my first year of law school, it would be a great way to analyze the documents that are used, learn about the process, etc. Though a very...

Visitation: Part 1: What happens if a parent never shows up for visitation?

     While you hate to give up time with your child, you know that the visitation with his other parent is good for their relationship, can be a very positive thing and (let’s face it) is a little break for you. Even if you don’t look forward to that time when your...

Massachusetts: The Annie Dookhan Drug Lab Scandal

Update: if you have not watched Netflix’s “How to Fix a Drug Scandal”, we recommend you do so. It discusses this case and the Sonja Farak case.  If you feel you have been impacted by either of these, please contact us. By now I am sure that a lot of you have heard of...

Delphi Murders Update

May 2021 Update: As we all work to keep this case in the headlines for as many eyes as possible, we often see other arrests that may appear to be similar to the person who killed Abby & Libby.  Those persons will be investigated thoroughly by the local police, the...

​ Can you get a restraining order on behalf of your child?

​As a parent it is our number one job to protect our children. In today's world, with all of the technology, there are more ways than ever for a child to be targeted. Children can be targeted by their own peers, by adults pretending to be other children or by...

Parenting Your Special Needs Child

Penny and Zach had a stormy relationship from day one.  They argued over food, traveling and holidays.  After they were married, they could not agree on anything except their child's name.    When Baby Levi was 3 and still behind developmentally, Penny sought out...

Can an Attorney Represent Both Parties in a Divorce

I receive calls frequently from potential clients who are seeking an attorney to counsel the parties, together, for a divorce. This happens for a variety of reasons. You want to save money. You feel as if you are in agreement on many of the issues. You want the...

Can I Stop Him From Selling Our Home While Child Is Still in School?

Question: My husband moved out of our home two years ago and moved in with another woman. We have guardianship of my granddaughter who will be graduating from high school in 2018. she is going to be going to college after she graduates. My husband said that as soon as...

What is the Automatic Restraining Order?

When a Divorce is filed, an automatic restraining order on assets immediately applies. This prohibits you, and your spouse, from encumbering, selling or transferring certain marital assets during the pendency of the divorce proceedings. Notice of this automatic...

Five Tips for Attending Court

Often I am asked "what do I wear?" or "is there anything that I need to know about going to Court?" Below are tips for attending Court that I find rather useful. 1. Dress appropriately. It is not necessary to wear a suit or formal outfit to Court. Wear an outfit that...

Grandparent’s Rights in Massachusetts

The issue of visitation rights for grandparent’s rights is governed by Massachusetts G.L. c. 119, s. 39D. Grandparents may seek visitation, “grandparent’s rights,” through the Court with their “unmarried minor” grandchildren if: (1) the parents are divorced, married...

Can You Get a Divorce Reversed?

Sometimes one or more parties to a divorce will be unhappy with the results of the divorce order and may wish to have the result reconsidered.  For whatever reason the question becomes "can you get a divorce reversed?".  This process of having the order reconsidered...

Wait! We Didn’t Mean to Divorce! Can’t We Get a Do-Over?

During the month of December, the New Hampshire Supreme Court upheld a lower Court’s decision that a couple cannot “un-divorce,” or “vacate” their divorce, by joint motion to the Court. In this particular case, a couple that had divorced after 24 years of marriage...

Blanchette: Case on Appeal

Recently the New Hampshire Supreme Court overturned the conviction of Ernest Justin Blanchette, a former deputy sheriff charged with sexual assault of an inmate during transport from the Belknap County jail to the state prison for women in Goffstown. This case shows...

2017 Child Support Guidelines – Part 3

In part 3 of our series on the 2017 Child Support Guidelines, we will be addressing child support for children between 18-23 years old and parental contribution to post-secondary educational expenses. If you would like to read about other changes, please see Part 1 -...

Custody: Can My Child Decide?

Very often I am asked “when can my child decide choose where he lives?” or “at what age will the Court listen to my children’s input?” The short answer to this question is that there is no “magic age” to answer "can my child decided" which the court will let the child...

NH: Can I Hire an Attorney During COVID-19

For my New Hampshire clients, here’s the update:   Currently, the Courts are closed.   You may not go to the court, but the Family Division is conducting some of the court's business behind closed doors.   Here’s what to expect: In an emergency situation,  you will...

How to Build Financial Security When Facing Divorce

How to Build Financial Security When Facing Divorce If you see divorce or separation looming in your future, there are ways to plan ahead and build financial security to prepare for what could be a financially difficult time ahead.   Here are some tips for you to...

Divorce and Drama…oh the Drama!

We laugh about it when we see it on TV.  We shake our heads in disbelief when our friends tell us about it in their lives.  But suddenly, you find yourself in the midst of a divorce and right smack in the middle of a real life reality drama series just like those made...

Just When We Thought He Was Beyond Reach

By now you may have heard that Bill Cosby was recently criminally charged by one of the women who claims that she was drugged and touched by him in the past.  The Commonwealth of Pennsylvania charged Bill Cosby today with aggravated indecent assault, sneaking the...

Can I sign away my rights to my child?

I am asked the question, "can I sign away my rights to my child" rather often, whether it be asked by the father or the mother of a child. Here’s an example of what I see in my practice: You were in a relationship where a child was conceived and you have been...

Annulment: Legal vs Religious

Annulment:  Legal versus Religious – an important distinction In the past  I wrote an article about annulment in each state:  Massachusetts and New Hampshire.  As I wrapped up the last article, I realized that I should discuss just one more point about annulment that...

What Type of Attorney Should I Hire?

This article is part of a series about why it's important to hire an attorney and the reasons behind hiring an attorney.  The purpose of this series is to help you determine the types of situations where a lawyer is most needed and to know when to reach out for...

Is Sexting Cheating?

Some say it's harmless; just flirting and having fun.  Others say it's much more than that - it's a form of cheating whether there is physical contact or not.  While the term "sexting" is certainly not new, it has been in the media more in recent weeks, both with the...

I Want to Fire My Lawyer!

If you have every said "I want to fire my lawyer, you are not alone".  Many times during a case it can seem confusing or overwhelming.  If you are frustrated or dissatisfied with your attorney, are not happy with the speed, outcome or method of the case, or are at the...

Pin It on Pinterest

Read previous post:
PROTECTING YOUR CHILDREN FROM SEXUAL PREDATORS
Protecting Your Children From Sexual Predators – Part III

In our last two related posts, we wrote about ways you can take precautions to protect your child from sexual...

Close