Forensic accountants and high asset divorce
The use of forensic accountants in high asset divorces is on the rise in North Carolina and around the country. Part of the reason for this trend is that wealthy couples are divorcing at an increased rate. Forensic accountants can help a court divide assets by providing a clear picture of what is available to divide in divorce.
These financial professionals are often used in a business setting, such as when one business partner may be considered untrustworthy. Forensic accountants may be used in a divorce for similar reasons. When one spouse is suspected of hiding assets from the other, it can affect the property division process. The more net worth spouses have, the easier it is for one spouse to hide assets from the other. Some spouses have been discovered using the same tricks that business partners may use, such as creating a shell corporation.
Forensic accountants can uncover hidden assets by examining different aspects of a married couple’s financial life such as comparing tax records to bank accounts and other financial information. Some spouses may report less income than they actually earn, so it is important for financial analysts to look at all the numbers to understand what is really going on.
Many divorce attorneys regularly recommend the services of a forensic accountant as part of a client’s divorce “team”, especially when there is a lot of marital property that is subject to equitable distribution. These professionals can be of assistance not only in locating hidden assets but in placing a valuation on all of the couple’s marital assets.