Family law disputes in Wisconsin are rarely easy. One issue that is particularly concerning is child support. Parents will often have questions about various aspects of their case, including whether post-decree modifications are possible and whether there are tax considerations.
Before taking the necessary steps to address these issues, understanding the basic facts is essential. Regarding a possible child support modification, the amount that is paid often hinges on the parents’ income, how many children they have and how much time parents spend with the children. When deciding if there should be a modification, all factors like spousal support will be assessed by the court. A critical factor in a modification is whether there was a significant change like job loss or an unexpected windfall.
Generally, child support will be of greater importance than spousal support. In most cases, any reduction in child support will yield a reduction in spousal support. Since taxes and recent changes to the tax law can be confusing, understanding how this impacts a case is imperative. The new tax code states that the parent getting child support will not pay taxes on it. The paying parent cannot deduct the child support payments they make on their taxes. If the parents share custody, a tax exemption could be in dispute. The situation will dictate tax implications.
Parents want the best for their children, but with child support, many concerns can come to the forefront. If a parent is experiencing financial turmoil, a child support modification is a reasonable request that might be negotiated out of court. Having guidance and advice from a legal professional with experience in all aspects of family law may be key in a child support case.