Start Your Divorce Today - Premium Divorce Online

Page 2 of 3 < 1 2 3 >
Topic Options
#774342 - 02/16/18 02:34 AM Re: ex-husband hides money from his 2 LLCs [Re: gr8Dad]
BeatDad Offline
recently joined

Registered: 02/16/18
Posts: 9
[quote=gr8Dad]In regards to child support AND alimony, I have always found it wrong that the ex spouse gets to SHARE in the increases, but are PROTECTED from decreases. [/quote]

Though you find it wrong, it is the reality.
Support is essentially the tax - based on the gross income and with the floor (good luck getting CO to decrease).
_________________________
Please help! Support my son's fund here.

Top
#775177 - 02/09/19 05:08 AM Re: ex-husband hides money from his 2 LLCs [Re: singlemom34]
dani123 Offline
recently joined

Registered: 02/09/19
Posts: 6
I have exactly the same issue at the moment with my Ex. My Ex is working for a large corporation but taking hourly rate paid on 1099 to his sister's company. How do i tell the court to consider a higher income. He is unnecessarily showing lower wage through sister's company to avoid child support payments.

Top
#775180 - 02/11/19 08:20 PM Re: ex-husband hides money from his 2 LLCs [Re: singlemom34]
MinnesotaMom Offline

old hand

Registered: 01/05/11
Posts: 969
More details are needed to give an answer. Does he work full time for a large cooperation and the time at his sister's job is another job, or his sister the owner of the large cooperation? What do mean by avoiding child support payments? That they don't exist or are smaller than you think they should be?

Top
#775192 - 02/14/19 10:11 PM Re: ex-husband hides money from his 2 LLCs [Re: singlemom34]
dani123 Offline
recently joined

Registered: 02/09/19
Posts: 6
He works full time 40 hours per week for a very large Corporation. But he is not a FTE there. His siter's Company Invoices that corporation and they pay his sister's company on 1099 only for his services. The only 2 employees in his sister's company is himself working for Company A and his sister Working for a Company B(Sister's company getting paid by Company B on 1099 only for her services).

Sister's LLC issues him paystubs and W2.
So essentially, he is showing a very less wage by working out side arrangements with his sister's LLC.

This is really pathetic. I need help to defend this.

Top
#775196 - 02/15/19 11:06 AM Re: ex-husband hides money from his 2 LLCs [Re: singlemom34]
MinnesotaMom Offline

old hand

Registered: 01/05/11
Posts: 969
By how much do you think he is undereporting? Did he show more income in the past on his tax return? What state are you in?

Top
#775204 - 02/16/19 08:26 PM Re: ex-husband hides money from his 2 LLCs [Re: singlemom34]
dani123 Offline
recently joined

Registered: 02/09/19
Posts: 6
He is underreporting by atleast 40000. This is obviously my assumption, but it is based on the facts how much a 1099 Contractor would paid for his job role hourly minus reasonable ss tax/medicare/employment taxes etc. We have 50-50 parenting Time. I am in NJ. He is showing even lesser than what he made last before 4 years through this business model which is nothing but intentionally underpaying himelf through help of sister's company. If many people start doing this, than there is no incentive to work for any person directly on w2. I searched a lot online but could not find a better way to combat this that's when i found this forum and posted.

Please advise

Top
#775205 - 02/17/19 05:50 AM Re: ex-husband hides money from his 2 LLCs [Re: singlemom34]
MinnesotaMom Offline

old hand

Registered: 01/05/11
Posts: 969
Child support will be based on his tax return. If it is less the last year, if you request, they may average the last 3 years. Finding unreported income is another story. It's very difficult to prove and usually takes a forensic accountant, and from what you described, would cost $10K or more, which you would have to pay and there's no guarantee they would find anything.

This isn't anything new. Under reporting income on a 1099 is probably the most common way folks pay less support. It's just very difficult and expensive to prove. If you haven't already, it woudn't hurt to a consult with a local attorney. Some judges may be more harsh with less evidence and an attorney would be more aware of the prevailing attitude in your local court.

Top
#775208 - 02/18/19 07:54 PM Re: ex-husband hides money from his 2 LLCs [Re: singlemom34]
dani123 Offline
recently joined

Registered: 02/09/19
Posts: 6
I understand that its difficult to prove. But how am i preparing my case to combat it. I have full time job on a W2 and i get very minor raises since last 4 years and he is saying now i have to pay him where he is showing same old income in last 4 years

Any ideas on how do i fight best to get his income imputed?

Top
#775209 - 02/18/19 09:05 PM Re: ex-husband hides money from his 2 LLCs [Re: singlemom34]
MinnesotaMom Offline

old hand

Registered: 01/05/11
Posts: 969
The courts/judge would not impute from what you wrote. Imputing is done for folks voluntarily working less than 40 hours per week or purposely working a job that pays far below their working potential.

This is what I would do. I would let him know that if he insists on you paying him, act a little crazy and let him know that you don't care what it costs, you are hiring a forensic accountant to fully investigate him not reporting his earnings, which includes digging into his sister's LLC's to prove it. You can also let her know.

I suspect it will stop him dead in his tracks.

It doesn't help you get support, but it stops him from getting it from you.

Does he currently pay you or is there no support order?

Top
#775221 - 02/24/19 01:00 AM Re: ex-husband hides money from his 2 LLCs [Re: singlemom34]
dani123 Offline
recently joined

Registered: 02/09/19
Posts: 6
Right now nobody is paying each other. But he got a very high hourly paying job on 1099 as explained and showing less on w2 and wants money from me. Now is it so hard for judge to atleast consider the last genuine income especially when i am proving that its his sister's LLC?

Top
Page 2 of 3 < 1 2 3 >

Moderator:  dsAdmin 


Resources & Tools
Start Your Divorce Online Start Your Divorce
Several Options to Get Started Today.
Divorce Tools Online Divorce Tools
Keeping it Simple to Get the Job Done.
Divorce Downloads Download Center
Instantly Download Books, Guides & Forms.
Divorce and Custody Books Discount Books
Over 100 of the Best Divorce & Custody Books.
Negotiate Online Negotiate Online
Settle your Divorce and Save.
Custody and Support Tracking Custody Scheduling
Make Sure You Document Everything.

Easily Connect With a Lawyer or Mediator
Have Divorce Professionals from Your Area Contact You!
Enter Your Zip Code: