Understanding What Can Be Hidden. Conversions, Custodial
What Can Be Hidden:
The most common types of assets hidden are cash, bonds, mutual
funds, cash value in insurance policies and variable annuities,
stocks, travelers' checks, Series EE savings bonds, and bearer
Conversion To Hide Assets:
Conversion of cash into personal property such as art, jewelry,
collectibles, antiques, vehicles, boats and planes are also
possibilities. Hobby equipment, gun collections, original paintings,
collector quality carpets and tools are examples of asset conversion
that often are overlooked or undervalued.
Custodial accounts established under a
child's social security number as well as transfer of assets into
pension, profit-sharing, 401(k), and Keogh plans are all strategies
for cloaking liquid assets from the opposing party's view. Employees
can work in collusion with their employers to delay business
contracts, raises or bonuses until after the divorce.
Transfer Of Funds.
The transfer of large
sums of money to trusts is one way individuals may attempt to
disguise assets. Another is to gift money to individuals with the
anticipation of having the money returned at a later date. These
patently deceptive strategies may be fraudulent as well.
Possible Locations, Where Assets May Be Hidden.
Income Tax returns.
W2s-Detail the salary received by a
Interest and dividend income.
tax free bonds.
Taxable Refunds of state and local taxes.
Overpayment of state and federal taxes.
State and local income tax.
and personal property taxes.
Interest paid, mortgage interest
and points-Schedule A.
Property used to earn income or for
Investment interest paid.
and theft loss.
Interest and Dividend Income.
Schedule C, Profit or Loss from
Schedule D, Capital Gains and Losses.
Schedule E, Supplemental Income and Loss.
and money market funds.
Checking account statements and
Lifestyle analysis: Look at the lifestyle
of the other party.
Cash flow procedures in a business.
Write offs of significant amounts should be reviewed.
Credit card receipts for purchases.
Credit reports for credit
Insurance statements for cash value of
Off shore accounts.
Applications and Personal Net worth Statements .
Local Level Searches: Search the County
Quit Claim deeds that are filed.
State Level Searches: The Secretary of State's .
The State Motor Vehicle Division.
Department titles boats and other water vessels.
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