Who should pay for the community expenses during the divorce? What is Community Property? Arizona is one of nine community property states in the U. Our family law firm has earned numerous awards such as US News and World Reports Best Arizona Family Law Firm, US News and World Report Best Divorce Attorneys, “Best of the Valley” by Arizona Foothills readers, and “Best Arizona Divorce Law Firms” by North Scottsdale Magazine. If you don’t use this special tax rule, you might have to cash in your RRSPs to make an equalization payment to your spouse. As a divorce lawyer in Arizona, practicing in Maricopa and Pinal County,. Problems can arise when a spouse uses sole and separate funds to buy a house in Arizona. against Martin and Martin thereafter filed for divorce. In most cases, the time limit to make a claim for an equalization payment is 6 years after you separate or 2 years after you get a divorce, whichever is sooner. Baldwin’s son claims, gives married people only two ways to hold property: (1) They can own it together as community property. 1. For example, if one spouse is awarded the marital home, the other spouse might be paid his or her one-half share of equity in the home by the. Arizona Revised Statute Section 25-318 (B) allows a judge to consider the taxes that will become due upon the sale of an asset, such as capital gains taxes on a home. . ) What is an equalization payment? An equalization payment is a sum of money equal to one-half of the difference in the value of the assets received by the other party. Arizona, California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington and Wisconsin all follow community property laws. The Arizona Court of Appeals in a published decision in the case of Barron vs. If you and your spouse filed a joint return in the year prior to divorce and applied an overpayment of tax to the year of the divorce, the overpayment must be allocated between you and your spouse. Let’s cover each of these concepts individually. He paid $10,000 from a business fund, gave a note to the seller for $5,000 and borrowed $30,000 from the bank. The next section explains how to calculate an equalization payment. Earnings of either spouse during a marriage are community property in Arizona. Wife appealed the decision to the Arizona Court of Appeals, contending the trial court undervalued the community’s interest in the two businesses; specifically asserting the trial court applied a minority share discount in contravention of Arizona law. Florida law presumes that, in the absence of an agreement between the parties, all marital assets and liabilities should be equally distributed between the parties. In 2017 I was awarded omitted assets of $165,000 which my ex appealed and lost and still hasn’t paid. Pets Are Personal Property in Arizona Law. Furthermore, based on the decision in Lutz v. R. Calculate each partner’s net family property 4. I have a case that has been pending since 2012 - I came into it in 2016 - where my client, the H (a brave California fire-fighter Captain), was forced to file a Chapter 13 bankruptcy to repay approximately. In the case of Foster vs. Dividing business profits during a divorce in Arizona can be a very complicated issue. Call us toll free at (800) 215-1190 or fill out out online form for your family law lawyer referral. Generally, money that is transferred between (ex)spouses as part of a divorce settlement—such as to equalize assets—is not taxable to the recipient and not deductible by the payer. It found that any damages were a community debt. An equalization ensures that taxes for taxable properties are uniform across different districts. Divorce and alimony calculator. The Court of Appeals ruled that provision of the settlement agreement does not provide sufficient evidence for the trial judge to evaluate the fairness of that equalization payment or the agreement itself. Equalization payments are intended to ensure that each spouse gets half of their marriage’s community property during divorce. Filing bankruptcy after divorce can impact multiple parts of a settlement decree, including both property debts and the amount of spousal payments. We get a lot of questions about the division of marital assets. ”. For example, a house, car, or furniture. C. The Court of Appeals found it to be irrelevant whether the Husband did or did not have a claim for an equitable lien against the home. Merger versus Incorporation of Property Settlement Agreements. Lee owned to address the issues of equalization payments for the division of a business in a divorce in Arizona and whether a court can modify a business appraisal based on a change inches to income other expenses of that business based up the court. Learn what assets have special rules 3. However, if the spouse’s efforts during. She's getting a divorce, she's in default on her student loans — and the two issues are more related than it may seem. However, the judge does have the discretion to award an unequal division of assets if to divide the assets equally would produce an unfair result. The personal representative’s reliance on In re Estate of Griswold, 13 Ariz. However, he is also entitled to a credit of $13,910 on account of spousal and child support. 2010),. Can a lender/creditor require payment of a debt even if a court order says the opposing party has to pay in the divorce? Yes. Thus, the receiving party “pockets” the entire amount. A divorce can be complicated. On July 28 and 29, 2019, the parties signed the written MSA, and, on July 29, 2019, the district court entered a stipulated decree of divorce, incorporating the MSA. Calculate the equalization payment 4. There are A LOT of family law attorneys in Phoenix. The basic calculation steps for a separate interest QDRO are as follows: For the AP: Determine the amount of participant’s accrued benefit assigned to the AP based on the terms of the QDRO. Ct. Assets distributed from a qualified plan under a. Once you can see the complete financial picture, you can also avoid the related mistake of arguing over one asset at a time. Kunz, 79 P. Propose an Alternative. This is not to say that every bankruptcy causes a subsequent divorce, or that every separation will. Step 1: List all of the marital property items and debts and include their values. Its purpose is to address fiscal disparities and promote economic equality by providing additional funds to less prosperous regions. Community waste is a term that is used in divorce to claim an equalization payment from your former spouse for funds that were wasted on items or persons during that marriage that did not benefit the community. S. You should contact Mr. The trial judge declined to follow the default rule in section 5 (1) of the Family Law Act, which states that the spouse whose net family property is the lesser of the two net family properties is entitled to equalization upon marriage breakdown. Add all of these figures together to obtain a total value of assets. It is how we stay connected to friends and family; how we network; and often, it is how. The parties were married on February 15. The terms “fair” and “equitable” has been defined to mean substantially equal. The most important tip in locating hidden assets and income is to “close the loop” on both business and personal finances. View Article. Arizona law recognizes that spouses can transmute separate property into community property by commingling community money with sole and separate money. This is going to mitigate some of those hard feelings your spouse may have about your decision to remove money from financial accounts. Equalization Payments. A divorce decree was issued dissolving the parties’ marriage, dividing their marital assets, and awarding Wife spousal maintenance of $600 for 120 months. Rowe addressed the issue of a community lien in a sole and separate business in a divorce in Arizona. § 25-318. . However, a mere expectation to receive money is not divided in a divorce. Contempt is never available for debt payments. The goal is to avoid inaction, ambiguity, noncompliance, and—most importantly—inadvertent forfeiture of entitlements. It can be paid in a lump sum or by installment payments. As a divorce lawyer in Arizona, practicing in Maricopa and Pinal County, and throughout the state. Limits to equalizing payments in a Florida divorce. After a bench trial, the district court entered a Decree of Divorce. Aug 14, 2015 | Custodial Evaluations, Custody, Divorce, Experts, Legal Decision-Making, Parenting Time, Teens. Assets in Arizona divorce cases are divided equitably (fairly). Arizona’s divorce and family law statutes, which are contained in Title 25 of the Arizona Revised Statutes, generally describes community property as all property acquired by either spouse. (See Becchelli v. See moreIn Arizona, community property implies equal ownership, so in most cases, it is fair to divide jointly held property equally. Evans married in 1949. Attorney. A property settlement agreement becomes a legally binding part of the final judgment when your marriage is officially dissolved. dividing paid time off in a divorce in arizona; equalization payments in an arizona divorce; omitted assets in an arizona divorce decree; crsc pay and divorce in arizona; judgment for separate property stolen during marriage; judge ignores a business appraisal in an arizona divorce; reimbursement of separate property in a divorce in arizonaYour partner has to pay you an equalization payment of $30,000 so you each end up with $70,000. I have a 2nd trust deed on the residence he got in the divorce. A “property equalization payment” is intended to equalize the final division of property between parties to a divorce. The money that the spouse with the higher total has to pay the spouse with the lower total is called. Even if you divided everything informally when you separated, a judge still needs to make a formal order about these issues. However, as noted, this is not always practical or even possible. Czarnecki in 1973. Marriage of Vaughn: Discharge of Debts in Bankruptcy During Divorce Does Not Waive Reimbursement Claims for the Spouse Stuck With the Tab Aug 17. We are a dedicated, motivated group of divorce attorneys, known for our professionalism, trial preparation, litigation strategies, and attorney ethics. Step 2: Subtract the value of property you owned, minus the value of your debts, as of the date of marriage. Call us toll free at (800) 215-1190 or fill out out online form for your family law lawyer referral. If the judge believes your ex willfully violated orders in the decree upon reviewing the case, he or she could hold your ex in divorce contempt of court, where contempt is the remedy of the enforcement action. If you can find your ex. It’s easier said than done, but the best scenario by far is to pay off your debt before or during the. The Court of Appeals, citing the case of Koelsch vs. C. This works out because each spouse would have received $50,000. The calculation of that equalization payment will be an. pensions and divorce in arizona; military retirement pay and divorce in arizona; is separate property divided differently than community property in arizona; is arizona a 50-50 state in a divorce; is all property owned by either spouse community property in arizona; interest on a loan between spouses in arizonaWhat Sets Our Family Law Attorneys Apart From Others. 1 Best answer. Over the last 30 years, it has averaged 5 1/2% per year. If you need information about a judgment for premarital loans in an Arizona divorce, you should seriously consider contacting the attorneys at Hildebrand Law, PC. STRANGE DIVORCE LAWS. The husband often used his separate funds to buy sheep and improve on the land. A Conclusion of Value can be presented in either a Detailed or. The husband, meanwhile, had in excess of 20 years to pay his equalizing payment obligation, since the trial judge required him only to pay $100 a month until the equalizing payment obligation was satisfied. First, you should know a spouse is free to use his or her separate money to buy real property for the couple. Whether a contempt motion may be filed. Marital debts are. Our family law firm has earned numerous awards such as US News and World Reports Best Arizona Family Law Firm, US News and World Report Best Divorce Attorneys, “Best of the Valley” by. Call us today at (480)305-8300 or reach out to us through. 175, 382 P. In the decree of dissolution, the trial court divided the parties’ community property. In other cases, however, the judge may decide to award one spouse a greater percentage of the marital. Equalization Payment ¶15 Husband also argues the superior court abused its discretion in awarding Wife a $48,000 equalization payment in exchange for awarding Husband the parties’ business and for back wages purportedly owed from the community business. Divorce decrees may be, from time to time, violated. 63 reviews. Posted on Nov 17, 2017. ” dividing paid time off in a divorce in arizona; equalization payments in an arizona divorce; omitted assets in an arizona divorce decree; crsc pay and divorce in arizona; judgment for separate property stolen during marriage; judge ignores a business appraisal in an arizona divorce; reimbursement of separate property in a divorce in arizona 3) The recent housing market is an advantage to sellers–you may be able to get a higher price for your home now than you would after the divorce is final. Some people ask about reimbursement of separate property in a divorce in Arizona. Koelsch, noted that property earned by either spouse’s employment is community property in Arizona. But, there are court processes you can use to try to collect the money from your. Value of Real Estate ( matrimonial home value at $1,800,000) $900,000. 2d 938 (1935), the Arizona Supreme Court was asked to interpret a power of attorney written and signed by a couple during the marriage that granted a third person authority to deal with their property. Son argued that, under the language of Arizona law, his father and Mrs. The Arizona Supreme Court agreed with the trial court’s decision that the interest in the ranch was husband’s separate property. Rather, the court will divide property between spouses in a way that it considers fair. The court, coincidentally, also ordered the husband to. Sometimes one spouse ends above with more of one property, are terms by who value. We all want to protect. 00 towards the obligations as set forth in her spousal maintenance payments. dividing paid time off in a divorce in arizona; equalization payments in an arizona divorce; omitted assets in an arizona divorce decree; crsc pay and divorce in arizona; judgment for separate property stolen during marriage; judge ignores a business appraisal in an arizona divorce; reimbursement of separate property in a divorce in. In divorce, you want to keep the house, which is worth $700,000. Do you know that? — In Kentucky, It is illegal to marry the same person four times. Therefore, the wife should be liable for half of the community debt omitted in the divorce decree. Message. If you have questions about division of retirement accounts in an Arizona divorce case, you should seriously consider contacting the attorneys at Hildebrand Law, PC. Apply to divide your pension, if needed. 2d 818 (1970), the Arizona Supreme Court considered several quitclaim deeds a spouse signed. No. J. Half of $10,000 is $5,000, so the husband would have to pay the wife $5,000. Learn more on our blog. Equalization Payments. One solution is to have the spouse who gets the more valuable asset make what's known as an equalization or equalizing payment to the other spouse. Spector, 94 Ariz. It reviewed each to determine whether the spouse. In my 2009 default divorce I was ordered to pay my ex a $1,500 equalization payment. Under the Family Law Act, the purpose of an equalization payment is to put both spouses* in any divorce situation in an equal position. Dividing marital property in an Orange County divorce can be extremely complex. However, the judge may consider a request to change the amount of support prior to that if there's a good reason to do so. ARS § 25-211. Table of Contents. Most of the tools available to you in collecting the equalization payment will require you or your attorney to obtain further court orders. Often a “catch-all” provision in the decree. Arizona law requires marital property to be divided “equitably,” which is defined as being substantially equal. As part of the division of marital assets, Wife was ordered to make a lump sum equalization payment to Husband of $1,063,000. 45 which amounted to 10% of the full. Calculate the equalization payment 4. A property settlement agreement lays out each party's assets and liabilities post-divorce. Here are some questions and answers concerning various issues in Ohio regarding alimony or. Foster, the husband filed an appeal of the trial court’s division of guns in an Arizona divorce. 2d 965, the Arizona court reviewed a similar case. If you have questions about the division of deferred retirement option plans in an Arizona divorce case, you should seriously consider contacting the attorneys at Hildebrand Law, PC. He offers to transfer his $600,000 in RRSPs to Jessica. Some couples are able to agree on how to divide all. In Barron, Husband requested an equalization payment from Wife. For example, Adam and Eve divorce. Ask if the pension follows provincial or federal rules 2. . Call us today at (480)305-8300 or reach out to us through our appointment scheduling form to schedule your personalized consultation and turn your Arizona community property case around today. (Despite the name, this kind. He also ordered Mr. 00. Underestimating Your Post-Divorce Expenses. In. Level 15. No. Generally, a property that is acquired. In the majority of cases, a fair division will be an equal (50/50) division. Keep in mind that this calculator is intended to be used only as a general tool to estimate potential splits and payments. It can be as a lump sum, or paid in installments (over a period of time not to exceed 10 years). The state has an average of 20,000 divorces annually, with around 10% of those cases going to trial. 933 (1931). A lawyer could also help you get a judgment so you can bring a collection action on your own. To erase your criminal record, call toll. comAt its core, the equalization process simply means that while an equitable distribution of assets will occur, it may NOT actually result in a 50/50 split of those assets. Additionally, each person was able to keep his and her vehicle, while dividing airline miles, bank accounts and other assets. This means that one spouse must usually give the other spouse an equalization payment. Idaho has community property laws providing that all of the assets and debts a couple acquires during marriage belong equally to both spouses. Collect your family law judgment. Apply for a Writ of Execution, and when received, have the Sheriff levy the Writ on your ex-husband's bank account(s) or his employer. Our Arizona community. He also ordered Mr. Olivier wants to keep the condo and buy out Jessica’s share of the property. The judge ordered the husband to pay 10% interest on the $37,221. The obligation is "law-imposed" (not a "debt"). When your marriage ends, the full value of the family home must be. Van Loan 569 P. Types of Business Appraisals in an Arizona Divorce From Hildebrand Law, PC. A Spouse Only Owns 50% of Joint Tenancy Property. M. HOW A CHILD’S VOICE CAN BE HEARD IN A CUSTODY OR PARENTING TIME DISPUTE. The Arizona rule — pronounced in a 1926 case and consistently followed – was that any amounts of money recovered for injuries to one spouse during the marriage are community property. McClennen was ordered to pay $37,054. Florida law sets a cap on how long durational alimony can last, depending on the length of the marriage. The. Failure to Comply with Property Division Orders. The Court of Appeals overturned the $1600 and interest award from the judgment and otherwise affirmed the remaining parts of the judgment. Carroll. Property division orders, including pension and retirement accounts; and. An equalization payment is paid when one spouse receives more than the other. However, the Tax Cuts & Jobs Act of 2017 changed how tax law addresses maintenance payments. Arizona Divorce: Dividing Business Profits. dividing paid time off in a divorce in arizona; equalization payments in an arizona divorce; omitted assets in an arizona divorce decree; crsc pay and divorce in arizona; judge ignores a business appraisal in an arizona divorce; reimbursement of separate property in a divorce in arizona; separate property increases in value during. In Arizona, Arizona Revised Statute section 25-327(B) states: “Unless otherwise agreed in writing or expressly provided in the decree, the obligation to pay future maintenance is terminated upon the death of either party or the remarriage of the party receiving maintenance. After the final divorce trial, the court awarded the house to the husband subject to the husband paying the wife 50% of the equity in the home, if any. In Linda Gibbs, TC Memo 1997–196 and in Seymour v. § 767. The other role requires the CPA to apply his or her tax expertise to separating marital assets and payments. Czarnecki filed for a divorce from Mr. Meister addressed the analysis a judge should apply when choosing the valuation date of a business in an Arizona divorce. Hutki answered that question. If a marriage lasted for 15 years or longer, it may be ordered for a longer period. Alimony, for example, is a separate concept and will be calculated and ordered independent of the division of property. (805) 387-9921. Koepnick, 3 P. They will both be included as the family court attempts a fair and equitable division of all marital property. (A separation agreement is a form of domestic contract. However, an appellate court can review a decision that seems inequitable and reverse the trial judge’s. The total value of your marital assets is $1,000,000, but if you get the house and your spouse gets everything else, it’s not. The wife requested a trial to present. Arizona Divorce Laws. Apr 6, 2011 | Community Property Law, Divorce, Legislation. The trial courts have great discretion to order equalization payments paid under such terms that are just and reasonable. In Arizona, a spouse signing over property by quitclaim generally gives up all interest in it. We are now litigating further omitted assets where my ex will be ordered to pay me further. Equalization issues may occur on certain circumstances such as divorce and separation, joint ownership, and multiple tax districts. The equalization payment is half the difference between the spouses net family property. Oregon is an equitable distribution state. However, a court can fashion an equitable division that is not equal after considering the length of the marriage, the contributions. 3)In the unpublished Arizona Court of Appeals case of Binder v. dividing paid time off in a divorce in arizona; equalization payments in an arizona divorce; omitted assets in an arizona divorce decree; crsc pay and divorce in arizona; judgment for separate property stolen during marriage; judge ignores a business appraisal in an arizona divorce; reimbursement of separate property in a divorce in arizona During the negotiation phase of a divorce case, attorneys representing the parties may advise for one client to pay the other an equalization payment. B. Email: [email protected] Court of Appeals agreed. It’s strongly recommended to submit the draft QDRO to the 401 (k) plan administer for their review and approval. Our family law firm has earned numerous awards such as US News and World Reports Best Arizona Family Law Firm, US News and World Report Best Divorce Attorneys, “Best of the Valley” by. The Family Law Act says that the person who has the higher total has to pay the person with the lower total half of the difference between them. AZ Divorce Laws & Community Property – Frequently Asked Questions (FAQ) AZ Photo from Getty Images The equalization payment is equal to one-half of the difference in net worth between the husband and wife. Value of Real Estate ( matrimonial home value at $1,800,000) $900,000. 13 it is dischargeable provided the plan treats it according to whether it is a priority debt or not. The Arizona Court of Appeals ruled Arizona Revised Statute section 12-1119 allows a person to file and record a lis pendens in any lawsuit that could affect title to a home or other real estate. Property settlements that result in large cash equalization payments in divorce are often paid over time in installments, with interest. We get just as many questions about the division of debt in an Arizona divorce. ) Typically, temporary maintenance continues until the divorce is final. Family law attorney Laurence Hirsch discusses the important points. In divorce agreements created on or after January 1, 2019, or those modified after that date, maintenance payments are not deductible by the payor or included in the payee’s income. The order. The question on appeal was whether the language of the document extended. Calculating Property & Equalization Payments During a Divorce. A lawyer might take your case depending on. This can be helpful if you have to make an equalization payment to your spouse. Cash equalizers are common, for example, when there is equity in a homestead that needs to be fairly divided between the spouses when one spouse will stay on deed to the home. Consider the example of a couple. For example, if one spouse came into the marriage with $100,000 and didn't increase or decrease their savings, and the other came into the marriage with no money or debts, but had a net family property after of $500,000 at the dissolution of the marriage, the second spouse could owe the first $250,000 as an equalization payment. If one spouse has a pension when the relationship comes to an end, it’s value will be shared, or equalized. The Court of Appeals affirmed the judgment below. It noted that, under Arizona law, it is the superior court’s job in a divorce to divide all community property held by a couple. Property settlements are just one issue that has to be resolved in the divorce process. Attorneys benefit greatly from this post-divorce angst and may even perpetuate conflict through court motions and motions for contempt. Q&A Asked in Sacramento, CA | Jun 15, 2010 Save My ex was ordered to pay. Keep in mind that this calculator is intended to be used only as a general tool to estimate potential splits and payments. If you need help resolving a child support dispute in Ontario, call (905) 581-7222 to schedule a. That means that, after the divorce decree was entered, each. The Arizona Court of Appeals in the case of. This is going to mitigate some of those hard feelings your spouse may have about your decision to remove money from financial accounts. If at the end of your divorce (in your Judgment ), the judge ordered your spouse to pay you money or split the money from the sale of something, you will need to collect the money yourself. 0 found this answer helpful | 1 lawyer agrees. . S. This is the frozen embryo case, originally decided by the trial court in 2018 and then reversed by the COA in 2019. For example, if a spouse can prove that separate property was used to make a down. Murin took title to the whole property in the divorce. Under. Make an agreement or apply to court. Kratz at (520)577-5155 if you have questions about how to properly divide retirement accounts in an Arizona divorce. v. You will not be responsible for your spouse’s credit card debt if it is in their name only. “PREGNANT MAN” AND HIS WIFE CAN’T GET A DIVORCE IN ARIZONA. Washington is a no-fault state and one spouse or the other only needs to claim that a marriage is “irretrievably broken” to start the divorce. Failing to pay spousal maintenance; Failing to pay the equalization payment; Failing to sell the house in a timely manner and divide the proceeds; Or fails to pay a particular bill; In. Do not include your family home, even if you owned it on the date of your marriage. Torres (1/23/2020) This is one of only two Arizona Supreme Court cases reported here. One possible resolution is through equalization payments, where one spouse is allowed to retain certain assets, and the other receives a monetary payment to make. Rule 33 (A) of the Arizona Rules of Family Law Procedure. However, a failure to fully consider the tax mechanics of an installment plan often results in additional, unexpected tax liability. A divorce decree in Arizona is intended to divide all community property between the spouses. Calculate the equalization payment 5. 5th 451: Chapter 7 Debt Discharges Under Federal Law Do NOT Necessarily Include Reimbursement. The husband admitted in a verified answer that the retirement account was community property. In Arizona, the decision of the court regarding the division of marital assets is based upon state law. In the case of bigger possessions such as a home or vehicle, both spouses will be awarded equalized assets by the end of the process. At this time, Mr. In Linda Gibbs, TC Memo 1997–196 and in Seymour v. Call us today at (480)305-8300 or reach out to us through our appointment scheduling form to schedule your personalized consultation and turn your Arizona community property case around today. However, there are some assets where the determination of value can be quite complex, such as. Alimony (called spousal support in Ohio) is a payment that one spouse makes to the other to provide financial support during and/or after a divorce. This payment was subject to statutory interest of 10% per annum, accruing from the date of. A surviving spouse’s share of community property is subject to administration for payment of community claims. When a marriage ends in Arizona, both the community assets and the community debts are divided between the spouses. married. To erase your criminal record, call toll. Bruce Smith (Husband) Amount. According to the news outlet, Kris will have to pay Bruce $2. Once you have ensured that the QDRO meets the requirements of the 401 (k) plan. How much your ex owes. They ask the. First of all, “alimony” and “spousal support” are one in the same. However, a couple can formally agree to hold real property as joint tenants. The process can be long, complicated, and emotional when a couple decides to end their marriage. Kenney isn't the first Alberta premier to navigate western anger and alienation. ) "Former spouse" refers to the non-member spouse whether or not the separation/divorce is. So, we wanted to provide answers to frequently asked questions about Arizona community property laws. When dealing with pensions and divorce in Arizona, you should know that many pensions also have what is referred to as a Survivor Benefit Election, which decreases the amount of the pension payments, but guarantees the non-employee spouse will continue to receive the pension benefit even. Hanna Amar’s passion for her clients’ difficult and deeply personal situations stems from her own family’s experiences, which is what has led her to dedicate her career to the practice of Family Law. In other words, it is necessary to make sure you can identify all sources and uses of income and assets for the individuals in question. Married couples seeking dissolution of marriage in the state of Arizona go through the divorce process in the Family Court. [¶5] Wife filed for divorce in December 2020. Unfortunately, and all too often one of the parties does not comply with Court orders. In most states, you are responsible for all credit card debt incurred in your name in a divorce. The Arizona Court of Appeals in a memorandum decision in the case of Jimenez vs. Under the Tax Cuts and Jobs Act, a custodial parent is the default beneficiary of the minor children being dependents for tax purposes.