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Red flags may point to hidden assets during divorce

When two people in Texas decide to get divorced, it is not uncommon for one party to fear that the other party is hiding assets. Unfortunately, many spouses do not know where to start when it comes to discovering concealed community property. Here are a couple of red flags that may indicate that a soon-to-be-ex is hiding assets that are subject to division during a divorce proceeding.

First, the future ex-spouse may develop a sudden passion for antiques or art. In this situation, it might be helpful to begin investigating what these new collectibles are truly worth. The reality is, some spouses might claim that they stumbled across mostly worthless paintings at yard sales when they actually siphoned off money to pay for expensive pieces of art.

Second, one spouse may claim that he or she made a large withdrawal to pay a creditor or the Internal Revenue Service. In this scenario, it is wise to ask for the future ex for the related bill. The reason for this is that overpaying creditors and then requesting refunds from them at a later date is a sneaky way to hide cash temporarily until the divorce process has been finalized.

The great news is that even if one spouse may be crafty at concealing assets, there are several ways in which such assets can be discovered. For instance, it’s possible to demand the production of certain documents or insist upon a deposition during the discovery phase of the divorce proceeding in Texas.  In addition, the attorney can use a forensic accountant to analyze the couple’s finances so as to uncover covert activity. The attorney’s ultimate goal is to make sure that the client receives all of the assets to which the client is entitled.