An Experienced Family Law Firm Helping Individuals in New Jersey, Overseas and Throughout the U.S.

Understanding the Tax Implications of Divorce in South Jersey

Divorce can significantly impact your taxes for years to come. At Musulin Groves & Greenfield, we help clients anticipate and plan for these consequences.

Key Tax Issues in Divorce

Filing Status – Your marital status on December 31st determines your filing status for the entire year.
Alimony – For divorces finalized after 2018, alimony is no longer deductible by the payor or taxable to the recipient.
Property Transfers – Transfers between spouses in divorce are generally not taxable, but the receiving spouse inherits the original cost basis—potentially triggering capital gains later.
Retirement Accounts – Improper division can trigger taxes and penalties. A properly drafted QDRO allows division without immediate tax consequences.
Dependency Exemptions – Parents must determine who claims children as dependents, typically addressed in the settlement agreement.

Our Approach

At Musulin Groves & Greenfield, partners Christopher R. Musulin, Esq., Christina M. Groves, Esq., and Kimberly A. Greenfield, Esq., help clients understand how divorce affects their taxes and structure settlements accordingly.

Don’t Overlook the Tax Consequences in New Jersey

Contact Musulin Groves & Greenfield, to discuss your divorce.

Call 609-267-0070 or contact us online.

We serve clients throughout Burlington County, Camden County, Gloucester County, and Mercer County—including Haddonfield, Medford, Moorestown, Mt. Laurel, Marlton, Shamong, Tabernacle, Pemberton, Maple Shade, Delran, Delanco, and Cinnaminson.