Law Offices of Amar S. Weisman, LLC
Towson Family Attorneys
Do you need to hire an attorney if you’re getting divorced in Maryland? No. Should you hire one? Absolutely. Trying to navigate the complexities and nuances of the divorce process without experienced representation is a recipe for disaster.
If you try to represent yourself in your divorce - without understanding your rights, without knowing the law or applicable rules, without having the ability to effectively advocate for your position – your future and that of your children could be significantly less favorable than if you had an attorney. You will likely be going head-to-head with your spouse’s lawyer. The judge will expect you to follow the rules and won’t treat you with kid gloves because you decided to go it alone. “Friendly” and Fair Are Not the Same Things One reason people think they don’t need a divorce lawyer is that they are parting company with their spouse on relatively friendly terms or have reached agreement on all significant issues. But this assumes that they are aware of all of the issues, that they have considered all options, and that they understand what each party is entitled to under Maryland law. More often than not, they don’t. Keep in mind that whatever settlement agreement you enter into with your spouse will transform at the end of your divorce into the binding court order that will govern your obligations and rights for years to come. No matter how “friendly” your divorce is, your spouse’s attorney only represents your spouse, not you. He or she is looking out for your spouse’s rights and best interests, not yours. By hiring a divorce lawyer, you can ensure that any agreement is fair and equitable and based on a full picture of the facts. Don’t Let Fear of Attorney’s Fees Stand in Your Way Maryland law recognizes that many divorcing couples go into the divorce process on wildly different financial footing. One spouse may have most or all of the income and assets, allowing them to pay for their own attorney with relative ease, while the other spouse is left wondering how they will afford any attorney at all. That’s why a spouse who can’t afford a lawyer can petition the judge for an order directing the other spouse to contribute to the costs of an attorney. As such, the perceived lack of an ability to pay for an attorney should not deter you from reaching out to a divorce lawyer who will know how to get your spouse to help out with your lawyer’s bills. Even if you pay for your own divorce lawyer, the investment you are making in getting experienced divorce representation will pay dividends for a long time. The peace of mind that comes from knowing that you have a committed and skilled divorce attorney on your side protecting you and your children is simply invaluable.
0 Comments
Alimony Payments are No Longer Deductible Thanks to Tax Law Changes
Divorce is usually a taxing proposition. It is taxing emotionally, mentally, and physically. Of course, divorce can also be very taxing financially, especially for those spouses who are required to make alimony or spousal maintenance payments. The passage of the Republican tax law at the end of last year has now made such payments even more burdensome and expensive by eliminating the previously existing tax deduction for alimony. For 75 years prior to the passage of the “Tax Cuts and Jobs Act,” all sums paid for spousal maintenance or alimony reduced the payor’s taxable income by the same amount. For most people making monthly maintenance payments – payments which can represent a significant portion of their income - this deduction provided significant tax savings that made the burden of supporting a former spouse a little less painful. “Divorce Penalty” If your divorce has been finalized or is finalized before December 31, 2018, congratulations, you get to keep your alimony tax deduction. But for payors in all divorces finalized in 2019 and beyond, this popular write-off will no longer be part of your tax preparation. The new law also effects any adjustments in spousal support payments made beginning in 2019. That means that if you move to make changes to established alimony obligations next year, you could lose the deduction you now are entitled to. This “divorce penalty,” as it has sometimes been called, is an unwelcome change in the law for several reasons. The ability to take a deduction on spousal support payments was seen by many as an incentive that could help divorcing couples reach agreement as to maintenance amounts. Knowing that they could deduct significant sums from their tax liability, payors could afford to make more generous offers in negotiations. Now, the additional financial strain created by eliminating this crucial deduction could lead to more tension and lengthier disputes about spousal support payments. It also doesn’t help that while the law will make spousal support for the payor more expensive, the recipient won’t have to pay a dime in federal income tax on the spousal support payments they receive. It has been anticipated that the end of the deduction at the end of this year would lead to a “divorce rush” as couples (or at least those who will have to make alimony payments) hurry to get their divorces finalized. Starting next year, however, the tax burden created by the new law may actually make divorce too expensive for some couples, effectively forcing them to stay together -unhappily - rather than establishing two separate households. As noted, the elimination of the alimony deduction can have a significant financial impact not only in terms of how the issue is resolved during divorce proceedings but in the years to come. If you have questions or concerns as to how the new law may affect you and your alimony arrangements, reach out to an experienced Maryland divorce attorney. Your lawyer can explain the tax implications of divorce and advise you of the best course of action. Dishonesty and deception are often hallmarks of a deteriorating marriage. The loss of trust that follows uncovered lies can be the last straw that leads to divorce. But the filing of a petition for dissolution of marriage doesn’t mean that the lies will stop.
During a Maryland divorce proceeding, there is ample motivation for individuals to be less than honest about the state of their finances in an effort to reduce their spousal maintenance or child support obligations or tilt property division decisions in their favor. Your Spouse Can Try to Hide, But Your Divorce Lawyer Can Seek Even though Maryland law requires divorcing couples to make full, complete, and sworn disclosures to each other about their respective assets and liabilities, there are many ways to manipulate those disclosures by engaging in creative accounting and concealing assets. When successful, these attempts to deceive the other spouse – and the court – can result in financial arrangements that are inherently unfair, based as they are on a false picture of the parties’ finances. In fact, the more complex a couple’s finances are, the easier it can be to play games with the numbers and keep assets hidden – unless someone has the experience and determination to expose such fraud. Working with accountants, investigators, and other professionals, a savvy and tenacious divorce attorney can uncover these efforts, hold the other party to account, and ensure that their client’s rights are protected. Disclosures Are Just the Start of the Inquiry As noted, most Maryland couples going through a divorce will be required to complete a document called a Long Form Financial Statement containing extremely detailed information about their income, assets, and liabilities. Once your lawyer receives the statement from your spouse, that is the start – not the end – of the inquiry. The disclosures shouldn’t be taken at face value. Rather, your lawyer should continue digging until he or she has determined through their independent investigation that the disclosures are complete and accurate. If your lawyer discovers hidden assets, your spouse’s deception will be brought to the court’s attention, the concealed assets will be included in the support, maintenance, and property allocations made in your divorce, and your spouse will be subject to penalties which may include paying some of your attorneys’ fees. What to Look For There are any number of ways a determined and creative spouse can try to conceal assets. Some of the more common forms of financial deceit during a Maryland divorce include:
If your marriage is ending, the trust you once shared with your spouse has likely been broken. Placing trust in your spouse now, during the heat of a divorce proceeding which will impact you and your children for years and decades to come, is not a prudent strategy. An experienced Baltimore and Towson divorce lawyer will be able to prevent or expose any nefarious efforts by your soon-to-be-former spouse to deprive you of assets or financial support that is rightfully yours. |
|