In the event of a divorce, part or all of a married couple’s business is often considered divisible marital property. If you’re in this situation, you may be able to divide your business ownership interests without triggering federal income or gift taxes. The spouse receiving the interests generally assumes the existing tax basis (used to determine future gain or loss) as well as the original holding period.
Tax-free treatment typically applies to transfers made before, during, or up to one year after the divorce. However, it’s important to note that the receiving spouse will be responsible for taxes on any gain if those ownership interests are later sold.
Beyond the immediate tax considerations, divorce involving a business can quickly become complex. Our team provides specialized guidance on the tax implications of divorce, along with business valuation services to help determine an accurate and defensible value of the business. We also offer litigation support services, working closely with attorneys and clients to navigate disputes and ensure financial matters are clearly understood and properly presented.
Contact us to learn more about how we can support you through the tax, valuation, and financial complexities of divorce. © 2026