Family Issues

If your parents are separated or divorced, the Custodial parent is responsible for filling out the FAFSA. The custodial parent is the parent with whom you lived the most during the past 12 months. This is not necessarily the same as the parent who has legal custody. If you did not live with one parent more than the other, the parent who provided you with the most financial support should fill out the FAFSA. This is probably the parent who claimed you as a dependent on their tax return. If you have not received any support from either parent during the past 12 months, use the most recent calendar year for which you received some support from a parent or lived with either parent.

If Congress does not agree by the end of 2012, the estate tax is set to revert to pre-2001 levels. As of this date, estate tax rates for 2013 and beyond are set to increase to a maximum of 55% (up from 35% in 2011 and 2012), and only the first $1 million of one’s estate (down from $5.12 million in 2012 and $5 million in 2011) would be exempt.
New for 2011 and 2012 is a concept named portability which allows a surviving spouse's estate to use any portion of the exemption amount not used by the other spouse’s estate.
For decedents and gifts made in the current year, a unified credit of $1,730,800 is allowed which is the equivalent of a $5,120,000 dollar exemption is subtracted from the tax calculated on the taxable estate.

IRS Publication 971 explains the 3 types of innocent spouse relief available. It describes who may qualify for innocent spouse relief, the separation of liability or equitable relief and how to apply. Go to the IRS website at www.irs.gov.

Social Security benefit records do not have the ability to name specific beneficiaries. The Social Security Act specifies which family members can receive benefits on your record when you retire, die or become disabled.
The social security administration cannot pay benefits to people who do not meet the requirements of the law, nor can they refuse to pay benefits to people who do meet those requirements. This is true even if you ask the social security administration not to.
Any payments made to your former spouse based on your record will not affect the amounts that can be paid to a subsequent spouse or your children.

Once the net taxable estate is calculated then the Unified credit, prior transfer credit, state death tax credit and foreign tax paid credit may be used if applicable.

The gross estate includes all property in which the decedent had a interest including real property located outside of the US. It also includes Assets at their fair market value at the date of death.
It includes transfers in contemplation of death, transfers with life interest retained, transfers that are not irrevokable. Annuities, property subject to general powers of appointment. Life insurance payable to executor or estate.

For 2013 the Federal exemption from estate taxes is $5,250,000.

No. There is no minimum payment period. Recapture of alimony amounts may apply where payments decrease by more than $15,000 within the first three years of the divorce.

Generally, the wording in the divorce or separation decree identifies the payments as Alimony or something other than Alimony, such as child support.
Alimony is income to the recipient and an adjustment to income for the payer.
Generally, for payments to be considered alimony, seven characteristics should be present. The payments are in cash or check. The payment must be paid under a divorce decree or separation instrument. The divorce decree or separation agreement cannot designate the payment as a payment which is not deductible by the payer or includable in gross income by the recipient. The recipient and the payer must not be members of the same household. The payments must not be treated as child support. The taxpayer and spouse may not file a joint return with each other. There must not be a liability to make any payment for any period after the death of the spouse.