If you are going through a divorce in New Jersey, do not sign a joint tax return until your own divorce lawyer or tax professional has reviewed it.
This comes up every year around tax season. Your spouse suddenly presents the return and says, "Just sign it."
Maybe there's pressure. Maybe there's a deadline. Maybe this is simply how you've handled your taxes throughout the marriage.
But divorce changes things.
This isn't something you should sign blindly just to keep the peace.
Why Signing a Joint Tax Return Matters
When you sign a joint federal tax return, you're not just completing paperwork.
Generally, both spouses can become responsible for the tax, interest, and penalties associated with a jointly filed return.
That's why you need to understand exactly what you're signing.
During a divorce, that becomes particularly important.
What Should You Review Before Signing?
Maybe your spouse has always handled the finances.
Do you actually know whether all of the income on the return is accurate? Are the deductions legitimate? Do you understand the business income, investments, or other financial information being reported?
And could something on that return raise questions about the financial information being presented in your divorce?
These aren't questions you want to ask after you've signed.
"But This Is What We've Always Done"
I hear this type of thing all the time: "We've always filed jointly. Just sign it."
Or: "We're running out of time. This needs to be filed now."
Maybe that's true. But a deadline isn't a reason to sign something you don't understand.
Depending on your circumstances, you may be able to have the return reviewed, discuss an extension, or determine whether another filing status is appropriate.
The right answer depends on your particular situation.
Don't Let Your Spouse Pressure You Into Signing
If you're uncomfortable with the return, slow things down. Have your divorce lawyer review it. Have your accountant or tax professional review it when appropriate.
Understand what's being reported and what signing it could mean for you.
This isn't about being difficult. It's about being careful.
The Bottom Line
If you're going through a divorce in New Jersey, don't sign a joint tax return simply because your spouse puts it in front of you.
Read it. Understand it. Get appropriate advice.
A tax return can affect much more than this year's filing deadline, and signing first and asking questions later can create problems you didn't need.
If you're already going through a divorce, the decisions you make now can affect your finances for years to come.
Make them carefully.
Until next time,
Steve