Opinion ID: 1771060
Heading Depth: 2
Heading Rank: 2

Heading: The court erred by failing to consider, and make findings on, the tax consequences of the equitable distribution and the needs of the parties for financial security.

Text: ¶ 12. In this assignment of error, Patty alleges that the Chancellor should have looked to the factors set out in Ferguson v. Ferguson, 639 So.2d 921, 928 (Miss.1994), in determining her interest in L & L Enterprises. Patty asserts that the Chancellor's findings and judgment do not indicate that the Chancellor considered her financial security or the tax consequences of his award. Patty is correct that the memorandum opinion does not specifically cite or refer to the Ferguson factors in any meaningful analysis. ¶ 13. Although the Chancellor in this case made an award of lump sum alimony as specifically requested by Patty, it appears that the award was actually in the nature of an equitable distribution of property. Indeed, John's brief specifically acknowledges that the award was a division of marital assets not taxable to Patty as income, nor deductible by John. Because this award involves distribution of marital property, we reverse the Chancellor's alimony award and remand the case for the Chancellor to make specific findings of fact regarding the factors set forth by this Court in Ferguson, including the tax consequences to each party, and to allow for an equitable division of the parties' interests in L & L Enterprises based on those findings.