Do tax code changes matter to prenuptial agreements?

On Behalf of | Oct 18, 2018 | Prenuptial Agreements |

Prenuptial agreements can cause tension for an engaged couple. Everyone wants to think that their marriage will be bulletproof and there is no point in preparing for a future when it is ending. Although it is often difficult to create one, agreements often give more security than trepidation to new couples.

The world of marital law is buzzing around changes to the tax code that imply a revolution in finance during and after divorce. This means that people writing prenuptial agreements should pay attention to the new directions that tax law is taking.

How do changes in the tax code change agreements?

There are no changing laws that directly affect prenuptial agreements, but some subjects included in many agreements are affected. The main one is alimony, where changes mean that tax liability on spousal support has shifted from the recipient to the payer.

Do old prenuptial agreements hold up under these changes?

Old agreements are just as enforceable during a divorce, although the potential payer of alimony may have a case to revisit specifics that have been affected by new tax liabilities.

What are the alternatives to an old agreement?

Mediation is often a good solution for divorce disputes in Florida, as a qualified person can review the intention of agreements and find a solution. A court ruling may be the last resort.

Do I need a lawyer to create or revise an agreement?

The process is easier with an attorney to represent your interests and monitor the whole process. Legal representation may not be required but it is recommended.