Why So Many Documents for a Business Valuation (Part 2)?

In the previous issue of Forensic Accounting Today, I consisely clarified the key reasons why Forensic Accountants request certain documents for business valuations. These included financial statements, tax returns, general ledgers and journals, paid bills, bank statements, canceled checks and brokerage statements, income tax audits, and stockholder and director minutes. (If you do not have…

Details

Dividing Pension Plans in Divorce and Legal Separation Cases in California

In the State of California, retirement benefits are considered a form of employment compensation. Thus, the community estate owns the pension rights that pertain to employment during the marriage. This holds true regardless whether the pension benefits have vested or matured. The division of pension benefits between the separate and community estates must be “reasonable…

Details

Protect Your Client from Being Encumbered with His/Her Spouse’s Tax Debt

The California Supreme Court defines earning capacity as “the income the spouse is reasonably capable of earning based upon the spouse’s age, health, education, marketable skills, employment history and the availability of employment opportunities.” Marriage of Simpson, (1992) C.4th 225, 14 Cal. Rptr. 2d 411. Due in part to the current economy, there exists a…

Details