How Forensic Accounting Can Play a Key Role in a Kansas Divorce

Divorce proceedings can often be resolved relatively promptly as long as both spouses are cooperative and forthright regarding financial information. Sadly, this is not always the case. When questions regarding assets, debts, or transactions cannot be resolved through discussion or an exchange of documents, your attorney might recommend retaining the services of a forensic accountant.

Blending financial acumen and investigative skill, a forensic accountant can give divorcing spouses the evidence they need to bolster their case in negotiations or at trial. Typically, they start by reviewing available records, such as bank statements, tax returns, investment portfolios and transaction documents.

An equitable distribution of marital property demands a full, objective description of the relevant assets and debts. When a concern about honesty exists, a forensic accountant can search for inconsistencies, unexplained transfers, or patterns that suggest income or assets are not being fully disclosed.

Uncovering hidden assets is one of the most common reasons forensic accountants are retained in high net worth divorce cases. A spouse who owns or operates a business has numerous opportunities to obscure income, including, but not limited to: overstating expenses, deferring revenue until after the divorce is finalized, and/or making payments to fictitious vendors. Loans or other transactions involving family members or close friends might indicate possible fraud as well. The emergence of digital assets in the past few years has also provided another potential form of concealment. Working with a forensic accountant can help expose these types of schemes.

Even when there is no suspicion of improper activity, a forensic accountant can provide business valuations, analyze the separate versus marital character of complex assets, and offer expert testimony that can be decisive in contested proceedings. Their ability to translate complicated financial information into clear and accessible terms for a judge makes them particularly valuable in cases where the financial issues are too complex for a court to evaluate without expert guidance. An experienced Kansas divorce attorney can advise you on whether a forensic accountant is warranted in your case.

The Henry Law Firm, P.A. has extensive experience handling complex divorce situations for Kansas clients, including those requiring forensic accounting. Schedule an initial consultation with our Overland Park office by calling 913-381-5020 or contacting us online.