When couples in Connecticut get divorced and they own a home together, they often put a lot of time and emotional energy into figuring out what to do with their house. However, some of that time and energy should also be directed toward the mortgage. That is because banks do not look at houses and mortgages as one in the same but as two distinct things. This becomes very important when one spouse wants to keep the house.
Divorced or would-be divorced couples in Connecticut may want to take note about a change that is looming regarding how spousal support payments will be taxed once the Tax Cuts and Jobs Act goes into full effect on January 1, 2019.
Connecticut spouses who are considering a divorce this year or possibly next year in 2019 should take the time to evaluate a rather significant change in the tax code that may have major implications for the outcome of their divorce settlement.
Residents in Connecticut who get divorced know that there will be many new things to learn and decisions to make. One of the difficult parts of ending a marriage is deciding how the couple's assets and debts will be split between both parties. It is important for spouses to know that making this decision requires not simply agreements between each other but may also require that they follow certain processes in order to avoid unforeseen pitfalls.