Divorcing Texas couples like you have a lot of hurdles to overcome. Property division is often a big one. Many heated arguments break out over who gets what. It can even drive some spouses to try hiding assets.
This is a bad idea for many reasons. Not only is it illegal, but your spouse could get into big trouble if they get caught. What is it about hiding assets that is such a big deal?
What is a financial affidavit?
Forbes discusses the penalties for hiding assets during divorce, and they are no joke. This is because of an affidavit that you sign when you start the divorce. This is a financial affidavit. It ensures that you are reporting your financial information to the best of your ability. If you lie, this is an act of perjury. The court can hold you in contempt.
Hiding assets is an act of perjury
Acts of perjury have different penalties depending on where you live. First, the court or judge decides how to handle your partner’s attempt to hide assets. They often order the spouse hiding assets to pay everything they owe. In some cases, a judge may need them to pay more than they owe.
Some states have financial penalties for hiding assets. A person caught trying to do so may pay fines for perjury. In some places, you may even receive a jail sentence. People often hide assets in the heat of the moment. They do not realize it can hold such heavy consequences. This is important for divorcing couples to know in advance. This way, no one makes the mistake of trying.