Attorney Sandra M. Radna was recently featured on NPR’s Marketplace to discuss how the 2017 tax reform may affect divorce. Specifically, Attorney Radna used her experience to explain how the tax reform has affected couples who might otherwise be unwilling to settle.
For years, the law dictated that alimony payments made following a divorce were tax deductible. However, as discussed in the Marketplace report, there is a provision in the 2017 tax law which says that for divorces finalized after January 1, 2019, alimony payments will no longer be deductible. Furthermore, under the new tax reform, people who receive alimony will not have to pay taxes on it.
Because of this change, many people who would be paying alimony are rushing to finalize divorces before the new tax law goes into effect. As Attorney Radna told Marketplace, clients began contacting her as soon as they discovered this new provision. “It usually started off with the phone call or an email or a text message saying, ‘Sandra, what are we going to do? And we have to be done by the end of the year.’” she stated on the program.
As an attorney known for litigating highly contested divorce cases, Radna goes on to explain how this limited timetable has actually motivated some clients to settle on certain issues. “They fight about everything… But with knowing that you have to be done by Dec. 31st, they're willing to maybe concede some issues that they wouldn't have conceded before,” she said. Real examples of this include clients giving up a house, a retirement account, and an extra visitation day with children.”
However, the program concludes by mentioning that many couples still find it difficult to come to the negotiating table, despite the impending tax deadline. This is why the assistance of an experienced lawyer remains essential if you have to settle your divorce in court.
Legal Assistance in Long Island
At Law Offices of Sandra M. Radna, P.C., our Long Island divorce and family law attorneys have litigated many different kinds of divorce cases. In both amicable and highly contested cases, the right lawyer can make all the difference when it comes to arriving at a favorable agreement. The 2017 tax reform makes it even more essential to hire skilled representation, in the event you need someone to advocate for you before a judge.
The Law Offices of Sandra M. Radna, P.C. has over 25 years of experience arguing on behalf of our clients, and we take a compassionate and personalized approach to every case. Our mission is to make sure your divorce is not finalized until we have secured the ideal outcome for you.
Call (631) 400-3342 to learn about your options, or contact us online to schedule a consultation.