Dividing property in a divorce can be a stressful experience, especially when it comes to finances. One important step in this process is asset disclosure.
In Indiana, both spouses must fully disclose what they own and owe. This ensures that property division is fair and complete. Below are some key points to consider.
What is asset disclosure and property division?
Asset disclosure means listing all property, income, debts and other financial interests. This includes real estate, bank accounts, retirement plans, vehicles, business interests and personal belongings. Indiana employs the principle of “equitable distribution,” which means the court fairly divides property.
Marital property includes most assets acquired by either spouse during the marriage. Even property held in only one name is usually considered part of the marital estate. In most cases, both marital and separate property must be disclosed.
Why asset disclosure is required
Full disclosure helps the court understand the financial picture of each spouse. It ensures that one spouse does not receive more than they should or avoid responsibility for shared debts. Hiding or failing to report assets can affect how the court divides property and may also lead to legal consequences.
Why assets might be hidden
Some people try to hide assets to avoid sharing them. They may transfer money to friends, underreport income or fail to list valuable items. In divorce, this is seen as dishonest and harmful to the process.
If someone is caught hiding assets, the court may impose penalties. This can include awarding a larger share of property to the other spouse or imposing fines. In some situations, it could even lead to criminal charges. To learn more about property division in Indiana, you should seek legal guidance.