Hello, myself and my soon to be ex wife are divorcing, currently separated. We agree on all aspects of the split so there's not going to be a court battle assuming all continues to go well. I will receive full custody of our only child with her getting visitation twice a week. There will be no child support/spousal support paid by either of us.
I work for a startup company and have done thousands of dollars worth of online sales this year before our separation and will owe a large (for my means) amount of taxes at the end of the year. I have been putting back 30% of all of my income for taxes, which is much higher than the rate I will actually be paying (excess tax savings was going to go to our emergency funds.)
With the surprise divorce announcement about a week ago, I am trying to figure out how our money/taxes will be split. I was the sole worker, and therefore the taxes are on my income, however because we are divorcing, the funds in our bank accounts will be split 50/50. Will my ex wife be responsible for half of the income taxes, considering she will be taking half of the income tax money I put back? Or will I be responsible for 100% of the taxes at the end of the year?
For example, say I have 10k put back in a savings account for taxes at the end of the year. She gets 5k and I get 5k of the money I've put back for taxes. Assuming the income taxes owed are 10k at the end of the year, will I be responsible for 10k, or will we both be responsible for 5k?
If I am responsible for 100%, it will be very difficult for me to claw my way up to affording those taxes. I'm hoping the taxes will be split between us, or perhaps I will be able to keep the tax money so I do not end up in debt. How do taxes typically work during divorce with one income earner, in the simplest terms possible? Thanks in advance!
Submitted September 17, 2021 at 08:05PM by No_Committee8461 https://ift.tt/39gL4aR
