What Are Unbundled Services?

Sometimes you can’t afford to hire a professional to help with the entire divorce process or only want to hire a professional for specific services. Some family professionals like lawyers, mediators or financial professionals, provide what are called “unbundled services” or “limited scope retainer” services. This means you can hire them to help with a certain part of your Family Law problem only.

WHAT: Is Support Taxable Income?

Changes to your marital status can have implications on your income, taxes and financial situation. Once you have separated there are certain tax credits that you will no longer be eligible for, while others many now be available to you. Child support and spousal support are reported together on line 220 and 230 of your annual tax returns.

HOW: Are Legal Fees Tax Deductable?

Fees paid to a lawyer for preparing your Separation Agreement or negotiating the division of family assets are not tax- deductible.

WHEN: Are You Separated in the Eyes of The Canada Revenue Agency (CRA)?

For the purposes of a legal separation you do not need to live under different roofs, BUT Canada Revenue Agency (CRA) has their own set of rules with regards to being separated for tax purposes.

WHO: Letting CRA Know It’s Over

Canada Revenue Agency (CRA) expects you to notify them when your marital status changes. You can call them, do it online, or mail in a marital status change form.