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What assets do spouses usually hide during divorce?

On Behalf of | Jan 15, 2025 | Divorce |

Dividing a life you have built together is challenging enough, but what happens when you suspect your spouse is not being entirely truthful about your shared assets? Unfortunately, this lack of transparency is not uncommon, particularly in divorces involving significant wealth.

Asset concealment during divorce is illegal

In Indiana, both spouses must fully and accurately disclose all assets during divorce proceedings. Despite this, some may attempt to hide assets, such as:

  • Cash stashed in secret locations or undisclosed bank accounts
  • Valuable collectibles or artwork
  • Cryptocurrency holdings
  • Offshore accounts or investments
  • Underreported business income
  • Overpaid taxes with the intention of future refunds
  • Transferring assets to friends or family members
  • Delaying bonuses or promotions until after the divorce

One tactic some individuals use to hide assets is transferring money or property to friends or family members. They may also undervalue businesses or other assets, hoping to buy out their spouse at a lower price. Some might defer salary or bonuses until after the divorce is finalized, aiming to keep that income out of the marital estate.

Courts take a dim view of such actions and may impose severe penalties on the offending party. This can include awarding a larger share of the marital estate to the wronged spouse or ordering the payment of the other spouse’s legal fees.

Protecting your interests and future

The discovery process is crucial in uncovering hidden assets. This legal procedure allows each party to request financial documents, conduct depositions and subpoena records to gain a complete picture of the marital estate. Indiana law permits the use of forensic accountants and financial experts to assist in this process.

Seeking appropriate legal counsel is often your strongest tool in this process. High-asset divorces can be intricate, and you will need a lawyer you can trust to reach a transparent and fair outcome.