What Is the Penalty for Hiding Assets in a Divorce?
The State of New York is an equitable distribution state, meaning that in the event of a divorce, shared property and assets must be distributed equitably — although not necessarily equally — between spouses. To accomplish this, full disclosure of assets on each side is necessary. Concealing assets is illegal and punishable by law. Here’s what you should know about the full disclosure requirement, the penalty for hiding assets, and how to get the legal help you need to protect what is rightfully yours in your divorce.
What Is Considered Community Property in Divorce?
One of the most significant issues in a divorce is the division of property. Ideally, you and your spouse will be able to reach a mutual agreement about who gets what property. If you’re not able to agree, you’ll have to pursue litigation where a judge will decide for you how your property will be distributed. In some cases, like high-net-worth divorces, it may be best to move straight to litigation.
Whether you settle out of court or end up in front of a judge, it’s important to have a solid understanding of the differences between separate property, community property, and domicile. Here’s what you should know.
How Do I Protect My Assets in a Long Island Divorce?
If you’re preparing for a divorce, it’s important to take steps to protect your assets. Here’s what you can do to protect what belongs to you and is rightfully yours in a Long Island divorce.
Should We Sell Our Home Before or After Our Divorce?
If you are considering divorce and you and your spouse own a home together, you’ll need to make some decisions about what to do with the property when you are no longer living together. Often, this means selling the home. New York is an equitable distribution state, meaning that a court will make every attempt to ensure that property is divided between you and your ex-spouse as fairly as possible — which may not always mean equally. If selling your home is on the table, you need to know whether it’s better to sell the home before your divorce is finalized, or after. Here’s what you should know.
What Will Happen to My Bank Accounts in My Divorce?
In the event of a divorce on Long Island, all of a couple’s assets, property, and debts are divided between them in a process known as Equitable Distribution. Under New York law, this is done equitably, meaning fair but not necessarily equal. Here’s what you need to know about what may happen to your bank accounts after your divorce and how to get legal help to protect your financial assets as you dissolve your marriage.
Robert E. Hornberger on Podcast Discusses Marital Residence
Attorney Robert E. Hornberger, Esq., of Hornberger Verbitsky, P.C., appears on Eye on Real Estate, a podcast and radio show with Dottie Hermann, CEO of Douglas Elliman, the fourth leading real estate firm in America. He discusses topics related to splitting the marital residence in New York and distributing separate and marital property in a divorce. Eye on Real Estate is dedicated to exploring mortgage news and market trends and answering tough real estate questions asked by listeners.
Here are some of the podcast’s highlights:
Does Being Self-Employed Affect Your Long Island Divorce?
Many people are concerned about their divorce affecting their job, however, the reverse is also frequently true. Your employment may impact your divorce in significant ways, particularly if you’re self-employed. Here’s what to expect if you own a business or otherwise work for yourself and are getting a divorce.
You’ll Need to Do More to Prove Your Income
Self-employment income is more difficult to prove than traditional income in any situation, not just in a divorce. If you’re a contractor, for example, you may get a 1099 once a year instead of W2s. Or, you may be responsible for calculating miscellaneous income yourself. If you’re a business owner, you’ll need to assess your gross income, expenses, and net profits. With most types of self-employment, the pay is erratic or differs substantially from month to month. This, coupled with the lack of pay stubs, makes it challenging to calculate an accurate estimate of your income. Expect to gather six months or more of bank statements and fill out multiple forms.
Why You May Need a Forensic Accountant for Your Long Island Divorce
Finances are one of the most common issues in a Long Island divorce, and even more so in a high net worth divorce. You and your soon-to-be-ex-spouse must fully disclose your assets, and if one of you is found hiding assets, you could face serious penalties. Often, one spouse will hire a forensic accountant if they believe their spouse may hide assets to avoid paying as much in the divorce settlement and later in spousal support (alimony) or child support.
However, whether you believe your spouse has the propensity for dishonesty or not, if there’s a lot of money at stake, a forensic accountant can prove helpful. Here’s what you need to know. (more…)
Disclosing Your Finances in a Long Island Divorce
In a divorce on Long Island, you must disclose, or make known, your complete financial information if your case involves child support, spousal support, or other maintenance. New York State Domestic Relations Law §236 makes it mandatory for both spouses to bring forward their information so the financial situation of each spouse can be accurately represented. Even if your divorce is uncontested, you’ll still need to completely disclose your finances. (more…)
What is a Statement of Net Worth in Long Island Divorce?
One of the most important documents your divorce attorney will request from you and your spouse in the preparation of your Long Island divorce is known as a Statement of Net Worth (SNW). While this is a detailed document that can seem intimidating at first, it is critical for both your attorney and the court to have an accurate picture of your financial situation to effectively represent you and protect your interests in your divorce. (more…)