I realize I need to consult a professional for specific advice, but in general, if a divorce is final mid-year and assets were shared, how are the following usually handled, and is this typically addressed in the marital settlement agreement? (Which obviously we did not do, or I wouldn't be asking these questions.)
From 1/1/08 through 5/31/08 all marital expenses were paid out of marital assets and the estate was split 60/40 as of that date.
Real EstateQuit claim deed for marital residence transferred ownership from joint to individual (husb/wife -> wife) as of May 31, 2008. Existing mortgage was paid off as of that date and remaining equity was split 60/40 between wife and husband, respectively.
Other Income
Seems to me we dropped the ball on this and it all should have been laid out in the settlement as of 5/31/08 -- am I wrong about that? I'm not looking for specific advice, just want to follow what the usual and equitiable practice is for this situation and recommend that through my attorney. I anticipate a drawn-out battle, regardless, so want to get moving on this ASAP.
Thanks!
yeah, this is something few people think about when they divorce, have substantial assets to divide - and it is final during the first part of the year- they want it over with then all of a sudden tax time comes and BINGO - messy messy is right. Had your divorce been over in July or later, you could have filed married - and not have this big of an issue. Yes, you should have figured all this out in the MSA....
Generally speaking, since you two went 60/40 across the board that is how your taxes should also be handled. However I'm going to bet your ex is going to argue it should be 50/50. Without being specifically involved in the case that is about as technical on the subject I'm comfortable getting.
I'm REALLY surprised considering your substantial asset division neither of your attorneys even flagged the discussion of tax liabilities....
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