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4 tagged with "Divorce"

Tax planning for divorce — QDROs, alimony, Section 1041 property transfers, Section 121 home sale exclusion, and filing-status rules for divorcing spouses

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Section 1041 and Divorce: A Guide to Property Transfers, Carryover Basis, and QDROs
·mike

Section 1041 and Divorce: A Guide to Property Transfers, Carryover Basis, and QDROs

Section 1041 lets spouses transfer property tax-free during and after divorce, but carryover basis, the six-year window, QDROs, ISO conversions, and post-TCJA alimony rules quietly reshape every settlement. A working guide to what must be fixed before the decree is signed.

divorce
tax-planning
capital-gains
retirement-planning
+4
Innocent Spouse Relief: How Form 8857 Unwinds Joint Tax Liability After Divorce
·mike

Innocent Spouse Relief: How Form 8857 Unwinds Joint Tax Liability After Divorce

Form 8857 lets a spouse seek relief from joint tax liability under IRC Section 6015. This guide walks through the two-year deadline, the three relief categories—traditional, separation, and equitable—and how divorced, separated, or abused taxpayers build a record that survives IRS and Tax Court review.

tax
tax-compliance
divorce
personal-finance
+3
Innocent Spouse Relief: A Guide to Form 8857 and Section 6015
·mike

Innocent Spouse Relief: A Guide to Form 8857 and Section 6015

Innocent spouse relief under IRC Section 6015 lets divorced or separated taxpayers escape joint liability for a spouse's tax misconduct via Form 8857. This guide covers the three types of relief—traditional, separation of liability, and equitable—plus deadlines, evidence requirements, and the common reasons the IRS denies claims.

tax
tax-compliance
divorce
personal-finance
+4
Tax Planning During Divorce: QDROs, Post-TCJA Alimony, and Section 1041 Property Transfers
·mike

Tax Planning During Divorce: QDROs, Post-TCJA Alimony, and Section 1041 Property Transfers

A practitioner's guide to the tax mechanics of divorce — how a QDRO splits a 401(k) penalty-free, why alimony in agreements executed after 2018 is no longer deductible, how Section 1041 carryover basis can turn a 50/50 settlement into an unequal one, and how the Section 121 home-sale exclusion survives when one spouse moves out.

tax-planning
tax
personal-finance
retirement-savings
+3