The alternative is to file as married filing separately. It’s the year when your divorce decree becomes final that you lose the option to file as married joint or married separate. In other words, your marital status as of December 31 of each year controls your filing status for that entire year.

How does getting divorced affect my taxes?

But while divorce ends your legal marriage, it doesn’t terminate your or your ex’s obligation to pay your fair share of federal income tax. If your divorce is final by Dec. 31 of the tax-filing year, the IRS will consider you unmarried for the entire year and you won’t be able to file a joint return.

What should my tax status be after divorce?

Your filing status is the same whether your divorce was final on January 1 or December 30 of the same calendar year. If you are divorced as of December 31, your filing status for that tax year is single. Being divorced may bring you tax benefits if your income was taxed at a higher rate because of your spouse’s earnings.

What’s the standard deduction for filing taxes after a divorce?

The standard deduction is $18,650 for Head of Household compared to $12,400 for single filing status for tax year 2020. If you are entitled to claim your children on your tax return, but your ex threatens to claim them instead, file early in the year.

When to update your W-4 after divorce?

You may also end up owing taxes — or get a lower tax refund — if your tax withholding throughout the year reflected your married status when you should’ve been paying taxes at individual rates. You should update your W-4 as soon as your divorce is finalized to avoid getting an unpleasant surprise on Tax Day.

Can a Head of Household file taxes after divorce?

When filing taxes after divorce, you may also be eligible to file taxes using the head of household status. As mentioned above, this will affect your income tax brackets when filing taxes after divorce.