With the ringing-in of a New Year many of us often feel a sense of starting fresh. We consider what we want to change for the coming year. For you, or someone you know, this may mean a change in the family status. This kind of decision does not come easily and may bring with it a great deal of emotion and stress.
Financial Divorce Solutions, works with those facing a separation or divorce situation and uses a process that helps to reach a mutually acceptable agreement. The process is supportive, considerate, sensible, constructive and allows for the management of conflict.
If you have costs associated with establishing, changing or evaluating spousal or child support and are the recipient this tax tip is for you.
Recipients may claim fees paid that are associated with child and spousal support. Using line 221 of your tax return.
For fees paid to try to make child support payments non-taxable use line 232.
Ask your lawyer and other professionals who assisted you with your claims to provide you with a letter that states their overall fees charged and the percentage applicable to issues related to support (establishing, changing or evaluating child and or spousal support).
I suggest that separating parents who have an existing RESP consider opening up two new plans so that each parent’s contributions remain separate. This helps to avoid future issues about who contributed what amount when it comes time to pay of post-secondary expenses. Parents will need to keep each other informed so over-contributions are avoided.
One of the benefits of attending a neutral consultation is both sides hear the same information at the same time and can ask questions to get clarification as it pertains to their specific situation. So much of what needs to be decided regarding financial decisions is specific to the couple. Each month I hold specific appointment times for those couples who have decided that they wish to move forward with their separation, and want to keep the cost and time limited, but don’t know what to do next.
To book an appointment or to ask questions about your situation by calling 905-892-4058.