3 Ways Your Spouse Can Hide Assets in a Divorce

 Posted on May 20,2024 in Marital Property

When a couple gets divorced in Illinois, both spouses are entitled to marital property. Marital property refers to assets that were acquired during the marriage by either spouse, with some exceptions:

• Inheritances

• Gifts exclusively for one spouse

• Property that was acquired by using non-marital assets as collateral

During a divorce, marital property must be distributed between the spouses equally. Sometimes, a spouse tries to hide his or her assets so that they are not divided with the other party. It is illegal to hide assets during a divorce, but hidden assets are sometimes hard to find. An experienced Illinois hidden asset attorney, however, will know what to look for.

Here are three ways spouses try to hide marital assets during a divorce.

Misreporting Income and Revenue

One way a spouse may try to hide his or her assets is by underreporting income or revenue from a business he or she owns. During the divorce, each party must submit a financial disclosure to the court listing his or her assets, expenses, and liabilities. Occasionally, spouses try to mislead the court with the financial disclosure by:

• Reporting the values of businesses, investments, or other assets as less than they are

• Failing to report bank accounts, investments, or other assets

• Delaying client billing

• Paying vendors early

• Using cash for transactions

• Reporting fake expenses

Transferring Assets to Another Party

Another common way some spouses try to hide assets is by transferring them to a third party temporarily. For example, if one of the parties owns a home that he or she does not want to be divided in the divorce, he or she might put it in the name of a family member or close friend who will transfer it back after the divorce is finalized.

Moving Assets Overseas

Sometimes a spouse who knows he or she is about to get divorced might try moving some assets overseas. Foreign bank accounts in that spouse’s name will not do much good, because an Illinois court often has jurisdiction over them. But if the spouse buys a home in another country, that can complicate matters. The house will be subject to the laws of the country it is in, and an Illinois court will not have authority over it. The same can be done with:

• Foreign investment properties

• Foreign trusts

• Foreign retirement accounts

Contact a St. Charles, IL Hidden Asset Attorney

Hidden assets are an area of divorce law that requires a highly skilled attorney. If one of the parties knows how to hide assets, it will not be easy for the other party or the court to discover them. A Kane County, Illinois hidden asset lawyer, however, is experienced in the different ways a spouse might hide assets.

At Goostree Law Group, we have extensive experience in hidden assets. Our clients know that we keep a vigilant eye over their interests throughout the divorce and are watching for any foul play. If we suspect hidden assets, we will investigate the matter and team up with a forensic accountant if necessary. Call 630-584-4800 for a free consultation and to start protecting your assets today.