According to the Pew Research Center (03/09/2017) Americans ages 40 and older are at an ever-increasing risk of divorce. From 1990 to 2015 the divorce rate rose 14% among those age 40 to 49, and 109% among those 50 and older.

Besides the emotional stress of a divorce, you also have the stress of dividing up marital property. Many couples divide their property on the basis of fair-market valuebut that may not be the best way to do it. Two assets of similar value can be taxed very differently, making one worth substantially less than the other.

For example, investments liquidated from brokerage accounts may be subject to capital gains tax, while those transferred from Individual Retirement Accounts and 401(k)s often retain their tax-advantage status, as long as they are rolled into similarly tax-advantaged accounts. Art will be taxed differently than real estate.

Besides the division of marital assets, you need to assess how the following may affect your post-divorce taxes:  Dependent exemption, Alimony, and Tax withholding. Tax implications of divorce can be quite consequential, so it is important that you consult with a professional. A good accountant should be able to advise you.



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