Tag: Spousal Support and Tax Implications
How Divorce Affects Taxes in Toronto | Lawyer Insights
Changing Your Filing Status after Divorce
When going through a divorce in Ontario, there are significant tax implications to consider, particularly how your filing status changes with the Canada Revenue Agency (CRA). Lawyers in Ontario emphasize that understanding these changes is key to ensuring compliance and avoiding costly mistakes.
Overview of Different Tax Filing Statuses in Canada
Unlike in the United States, Canada does not have joint filing for couples. Individuals file their taxes independently, but your marital status impacts key credits, deductions, and benefits. The CRA recognizes the following statuses:
- Married: You are legally married and living together.