Where to Find Hidden Assets During a Michigan Divorce

 Posted on August 10, 2023 in Divorce

During divorce proceedings, the equitable distribution of assets is a critical component in ensuring a fair resolution. However, some spouses may attempt to deceive their partners and hide assets to secure a dishonest advantage. Today, we will be discussing where to look to find hidden assets. If you think your soon-to-be ex-spouse may be hiding assets during your Michigan divorce, alert your divorce attorney as soon as possible to ensure these hidden assets can be revealed at once. 

Offshore Accounts and Foreign Investments

One tactic utilized to conceal assets is directing funds to offshore accounts or investments in foreign jurisdictions. These can be in the form of secret bank accounts, shell companies, or foreign real estate. Conducting a thorough investigation into international financial transactions and utilizing the assistance of forensic accountants can help uncover such offshore holdings.

Unreported Income

Spouses may intentionally underreport their income to distort the financial picture in a divorce. This can be achieved through cash-based businesses, inflated business expenses, or diverting income to third parties. Requesting tax returns, examining bank statements, pay stubs, and reviewing business records can be beneficial toward uncovering discrepancies and revealing the true income. 

Overpaying Taxes

In an attempt to manipulate their financial situation during a divorce, spouses may overpay their taxes with the intention of seeking refunds once the divorce is finalized. Analyzing tax returns and examining the pattern of tax payments can help identify if this strategy has been employed. 

Gifts to Family or Friends

Devious spouses may transfer assets, including cash real estate or vehicles, to family members or close friends to keep them out of reach during divorce proceedings. It is crucial to investigate any large or unusual transfers to third parties and trace the true origin of these transactions.

Undervaluing Assets

Intentional undervaluation of assets is another tactic used in hiding assets. This can involve undervaluing property, vehicles, or other high-value assets. Conducting independent appraisals and obtaining opinions to uncover any potential undervaluation is advisable. 

Digital Footprint

The digital environment can provide valuable clues about hidden assets. Spouses may leave traces of hidden assets in emails, hard drives, or online platforms. Collecting and analyzing digital evidence, including financial transactions, online communication, or social media activity can help uncover hidden assets. 

Contact an Oakland County Divorce Lawyer 

Divorce is an emotional process, and some spouses resort to dishonest tactics to get an edge. If you believe your spouse is engaging in this behavior, contact the seasoned Northville divorce attorneys with Elkouri Heath, PLC. Call 248-344-9700 for a free consultation. 

Source:

https://www.forbes.com/sites/catherineschnaubelt/2019/03/08/finding-hidden-assets-in-a-divorce/?sh=3453ad116fd1