Tax laws change. The figures and rules in this guide reflect general understanding at time of writing, verify current amounts and rules with a tax professional or at IRS.gov before filing.
Taxes change after divorce in ways most people don't expect.
You filed jointly last year. This year you're filing alone for the first time. You're not sure about filing status, who claims the kids, or what the alimony situation does to your return. It's more complicated than it used to be.
Divorce changes your tax situation in ways most people don't think about until it's too late.
You don't need to become a tax expert.
You need to know what changed and ask the right questions.
Your status for a given tax year depends on whether you were legally divorced by December 31 of that year.
Married filing jointly, only available if you were still legally married on December 31
Married filing separately, if you're still legally married but want to file independently; usually results in higher taxes, used strategically in some situations
Single, your default once the divorce is finalized
Head of household, available if you're single, paid more than half your home costs, and had your child living with you for more than half the year; better tax rates than filing single
Head of household status matters.
If your kids spend significant time with you, you may qualify. Confirm the rules with a tax professional.
This is one of the most common points of conflict.
The IRS default rule: the parent who had the child for more nights during the year claims the child as a dependent.
But:
your divorce agreement may specify something different
the custodial parent can sign Form 8332 to release the exemption to the non-custodial parent for a given year
some agreements alternate years
Do not both claim the same child. The IRS will catch it, and whoever filed second will face penalties.
Get this in writing in your agreement and follow it.
If you qualify to claim your child:
Child Tax Credit, up to $2,000 per child under 17 (verify current amounts at IRS.gov, this figure changes with legislation)
Child and Dependent Care Credit, if you paid for childcare while you worked
Earned Income Credit, if your income falls within qualifying ranges
These are real dollars.
Know whether you're entitled to claim them before you file.
Child support, not deductible for the payer; not taxable income for the recipient
Alimony (spousal support), for divorces finalized after December 31, 2018: no longer deductible for the payer, no longer taxable for the recipient. For divorces before that date, old rules may still apply.
If you're paying or receiving spousal support, confirm how it's classified in your agreement and how it affects your filing.
confirm your filing status based on your divorce finalization date
review your divorce agreement for any language about tax dependency
gather documentation for any child-related expenses you paid
tell your accountant or tax software about the divorce upfront
consider working with a CPA for at least the first post-divorce filing
The first year is the most complicated.
Getting it right once makes the following years simpler.
This is informational, not tax advice. Tax laws change. Your situation has specific variables. Consult a CPA or tax professional for advice on your filing.