Divorce Questions

[EAS310]

I am in the middle of a divorce. When it is finalized I will be able to claim our 3 children for 2022 and going forward. The divorce will not be final in the 2022 calendar year. How do I file my 2022 taxes? Will I need to file for an extension? Will I file as Head of Household? 

Are there any tax considerations I should be thinking of during the divorce process? 

My next question is if we sell the house and I do not immediately by another home. Will I be taxed on the money I get from the house if I don't purchase another one right away? 

Finally, if I am able to keep the house but I take cash out of a refinance to pay my ex are there any tax penalties for that? 

[Bsch4477]

1.  You will file as Head of Household. No extension necessary if you have all of your tax data available 

2.  If you sell the home you will pay any capital gains due unless you qualify for the home capital gains exclusion. You don’t get any tax advantage by buying another home immediately. 
3. Seek knowledgeable legal and tax representation since divorce is rife with legal and financial pitfalls.