Friday, July 16, 2010

Which states are separate property states, and which are common property states?

Let's get a few terms straight, first. Common property states are those that have laws that treat income during marriage as, well, common property, that is, belonging to both spouses (I was going to say belonging to both husband and wife but that's getting a bit out-dated these days).  Separate property states are the ones that treat income as owned by one spouse or the other, but not automatically to both. The distinctions are important during taxes, inheritance and divorce proceedings.

Arizona, California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington and Wisconsin are common property states. All other states treat income as separate property.

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