Forensic Accounting in Divorce

Forensic accounting in divorce can be extremely useful, especially if you have complex financial issues or if you believe your partner may not be forthcoming about all of your assets. Forensic accounting is a specialty field that helps companies and individuals answer crucial questions related to their finances. Forensic accountants use advanced techniques and procedures to uncover fraud and other financial crimes. Forensic accountants are also experts in identifying hidden assets and liabilities, tracing hidden funds, valuing businesses and other assets, determining tax liability, and resolving disputes involving financial issues. 

Forensic Accounting in Divorce | Citino Family Law LLC | Maria Citino
Forensic Accounting in Divorce | Citino Family Law LLC | Maria Citino

Business Valuations in Divorce

In a divorce proceeding, you may need to determine the value of your business. A legitimate business valuation can be accomplished in several ways: Net Worth Method, Sales Comparison Approach, Income Approach. The best approach for your business valuation will depend on the status of your business and the different assets held by the business. For a divorce, a business valuation not only considers the historical financial information of the company but also looks at the projected future revenues and expenses of the company to determine a fair value. 

Utilizing forensic accounting in divorce can ensure that the business is valued properly. You and your partner may decide to use a joint forensic accountant or you may each hire your own. Consulting with your divorce attorney will allow you to make the decision that best suits your needs. Citino Family Law LLC will take the time to understand your unique situation and will develop the best strategy for your case. Contact us today | 312-248-3849.

Forensic Accounting in Divorce | Citino Family Law LLC | Maria Citino
Forensic Accounting in Divorce | Citino Family Law LLC | Maria Citino

Other ways forensic accounting in divorce helps 

Aside from business valuations, a forensic accountant can be used for several other scenarios in divorce. Some of the things they can do include:

  • Search for hidden assets and/or hidden income. This may include searching for hidden bank accounts (including off-shore accounts) and hidden property. 
  • Corroborate financial information with non-financial information. 
  • Determine and quantify personal expenses accounted for as business expenses by the other party and which may impact items such as the valuation of a business. 
  • Calculate the cash flow. 
  • Perform a tracing to be used in determining the separate or community nature of property. 

Forensic accounting in divorce will also ensure that your attorney has all information needed to negotiate on your behalf. Often times, a forensic accountant will assist your attorney with:

  • Preparing document requests of the other party. 
  • Gathering information to be used in the preparation of subpoenas. 
  • Preparing interrogatories or in preparing deposition or trial questions to be asked of the other party’s forensic accountant. 
  • Reviewing work performed by the forensic accountant working with the other party.
  • Testifying in court or at depositions.
Forensic Accounting in Divorce | Citino Family Law LLC | Maria Citino
Forensic Accounting in Divorce | Citino Family Law LLC | Maria Citino

Will you need forensic accounting for your divorce?

Not all divorce cases require a forensic accountant. However, forensic accounting in divorce is especially useful with those involving high-asset or high-net-worth individuals, business valuations, complex property division cases, and/or hidden assets. 

At Citino Family Law LLC, we will make sure we work with you and the best professionals to achieve the best possible case results for you. When it comes to family law matters, no two cases are the same. We work closely with our clients to develop and execute a strategy tailored to the unique circumstances of each case. Contact us today for a consultation.