As many Texas residents may know, alimony has implications for income tax. Both the payer and the payee need to indicate the amount he or she paid in alimony and the amount that was received. Beyond that, it is necessary to provide the Social Security number of the other party on one's tax return, without which a penalty may be assigned. If the divorce settlement specifies that any payments are not alimony, then they are not considered alimony when filing income tax.
Texas residents who are ending their marriages often have trouble discussing important divorce issues with their ex-spouses, but some family law experts say that making the effort to do so could result in lower legal bills. In many cases, divorcing couples can easily accumulate thousands of dollars in legal fees and other expenses over the weeks or months that contentious negotiations or court proceedings might last.
Laws found in the Texas statutes describe the ways a state court judge can decide if a spouse may qualify to receive alimony. If a spouse makes a request for alimony, the court considers whether that spouse has sufficient financial resources to pay for basic expenses. Certain other specific conditions will also be considered, such as whether domestic violence took place during the marriage or if one spouse is disabled.
Married or soon-to-be married couples in Texas can take heed from this example of a divorcing spouse challenging an 11-year-old prenuptial agreement. The agreement stipulated that the wife would receive a one-time payment of one percent of the husband's assets in the event of divorce. The wife has filed to overturn the agreement and proceed with routine property division under Illinois state law. At the same time, she filed for sole custody of their three children and relocation rights. Her specific charges against the prenuptial agreement's validity may be worth the attention of Texas couples.
When two people decide to get married in Texas, they may not be considering a prenuptial agreement. However, according to a recent article, the documents are apparently gaining in popularity, suggesting that many individuals wish to protect their rights and their separate property.
Many couples may benefit from understanding more about what constitutes as grounds for divorce in their state. Texas Family Code cites seven specific scenarios that may justify the court in granting a divorce. The scenarios that qualify as grounds for divorce include insupportability, cruelty, adultery, felony convictions, abandonment, living apart or confinement in a mental hospital.
In the state of Texas, there are two different types of alimony payments. The first is contractual alimony and is a private agreement made between the parties. With this type of payment, there is no limit to the duration or amount of payments. With the contract being made between consenting adults and agreed to ahead of time by both parties, there also are not any stipulations regarding eligibility requirements.
For some Texas residents contemplating divorce, there are questions about basic choices that are made during that process. Decisions over alimony and property, as well as retirement accounts, may best be made when a workable understanding exists.
When it comes to separating from a spouse, there are many things that any couple should take into consideration, such as the financial impact of divorce, child custody and other family legal issues. However, a high asset divorce can be even more complicated when significant fortunes are at stake. As a result, people who are preparing for a divorce in McKinney or any other part of Texas should try to closely review various aspects of family law and thoroughly prepare for separation before moving forward.
When couples in Collin County decide their marriage is no longer working, they often choose to divorce. In the majority of cases, there are issues that need to be sorted out in order to reach a settlement. Couples may disagree on things, including child custody, spousal support and property division, and require the assistance of a family law court to reach an agreement.