When filing for divorce, people have an obligation to reveal all personal and marital property to their soon-to-be exes and the court. However, due to wide-ranging factors, sometimes people hide shared assets from their spouses.
Having some ideas of where to start looking will help concerned people uncover if their spouses have or are hiding assets.
According to CNBC.com, divorcing spouses should review their financial accounts for red flags signaling the possible covering up of any shared property. In such reviews, people sometimes find evidence of missing money or changes in spending habits. Looking at shared cryptocurrency accounts may also help people uncover assets concealed by their spouses.
CNBC.com recommends people look for hidden assets by doing a deep dive into their shared tax returns. In their individual income tax returns and the forms used to prepare them, people will find information on how much their spouse earns and various withholdings. Sometimes, people increase their retirement contributions or use other such options to hide their actual after-tax incomes.
Corporate or business entities
Sometimes people will use corporate or business holdings to conceal marital property. For example, an entrepreneur sets up a company. He or she then channels money into the company but does not disclose it or its assets in the divorce filing. People may uncover businesses owned by their soon-to-be exes by performing an entity search. Obtaining tax returns linked with the business will likely provide more information about spending patterns and cash flow.
In addition to potentially impeding the fairness of property division settlements, hiding assets in a divorce often carries legal consequences. Therefore, it behooves those getting divorced to remain open and honest about their marital assets, as well as to uncover any shared property concealed by their spouses.