What financial mistakes do divorcing couples most often make?
Among the most common financial mistakes is not discussing the tax ramifications with an accountant in order to take full advantage of the federal income tax code. Property transfers in a divorce settlement, for example, may have consequences. If a party sells property allocated to him or her pursuant to a Judgment for Dissolution of Marriage, capital gains taxes could be associated with the sale and not taken into consideration when valuing the asset. Divorcing couples also can use the federal income tax code to their advantage.
