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Methods spouses use to hide property

by | May 28, 2018 | Firm News

When you first entered into your marriage, you probably had nothing but trust in your partner, but regrettably, relationships often change over time. If you count yourself among the many people across Florida who are currently navigating their way through divorce, you may distrust your partner more than ever, and you may have just cause in doing so.

Sometimes, when relationships break down, one party in a marriage starts to move assets around in an attempt to get a more favorable share once the divorce becomes final. Many spouses who conceal assets from one another rely on similar methods when doing so, however, so learning to recognize what these methods are can help you avoid losing big in your divorce. If you have suspicions about your husband or wife hiding property from you, know that he or she may do the following:

Purposely overpay the Internal Revenue Service

One sneaky method spouses sometimes use to conceal assets from one another involves intentionally overpaying the IRS in an attempt to make it appear as if he or she has less at hand than is accurate. He or she may intentionally overpay, and then advise the IRS to simply use the excess amount to put toward future tax obligations.

Report fake or inflated expenses

If you have suspicions about your husband or wife, and your husband or wife works as an independent contractor, know that he or she may inflate or flat-out lie about business expenses as a method of reducing taxable income. This reduces the amount of income he or she reports on tax returns, but it is also a criminal act.

Intentionally delay sending invoices or accepting raises

Your spouse may also use his or her business or job to hide assets by intentionally delaying clients for work he or she performs so that the income received for the job comes after the divorce finalizes. If there is a close relationship between your spouse and his or her boss, they may also arrange to delay raises in pay so your spouse does not have to split the additional income with you.

Often, where there is smoke, there is fire, so do not hesitate to research further if you have suspicions about your spouse hiding assets.