Three Indicators That Your Partner Is Hiding Assets During Divorce

Financial issues are some of the most contentious during a divorce. This includes things like property division, alimony and child support. It becomes even more complicated when one of the couples alleges or thinks that the other is underreporting his or her income or hiding some assets.

Certainly, knowing whether your spouse has made full disclosure of his or her financial status will help you get your appropriate share of the assets. Here are a few things that should make you suspect that your partner is hiding something:

False Claims of Financial Struggles

There are many things that can make a business fail. However, you should be wary if your partner claims that his or her business is failing, yet the relevant industry is booming. Consider the case where your partner is a real estate broker, and the property industry has been doing well for the last year or so. If he or she claims to be struggling, then you should dig deeper to find the truth. It might just be that he or she isn't good at his or her work, but there is no harm in unearthing the truth.

Flashy Lifestyle That Doesn't Match the Reported Income

Suppose you have been separated from your partner for a year or so. He or she moved to an upscale neighborhood, bought an expensive fast car and has been vacationing overseas in the last couple of weeks. When it comes to income or asset declaration, what he or she says doesn't match up to his or her lifestyle. It might be that he or she is just living beyond his or her means, but are you sure?

Unreasonably High Business Expenses

A business expense usually (but not always) reflects its success. Expenses such as stock purchases, wages and utility bills may indicate how well or badly a business is doing. Consider an example where your partner is running a restaurant. Have a look at the records for food deliveries and salaries for the waiters and chefs. It's unlikely that he or she can be paying salaries for a huge number of workers, accepting gigantic food deliveries and still experiencing low proceeds.    

Hiding assets is a serious offense that can result in serious penalties whether it is discovered before or after divorce. For example, you may have to pay monetary fines or even face sanctions from the judge. If you discover that your spouse has hidden assets or income from you, then you may even get the judge to force him or her to give up his or her entire share of remaining assets to you.

If you suspect your partner is hiding assets, talk to a professional in family law, like Dianna Harris, Attorney.

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