In some cases, it can be difficult to determine which expenses should be considered as personal or business. There are business owners who are particularly sophisticated in their understanding of financial accounting methods and who may intentionally conceal personal expenses while claiming them as ordinary and necessary business expenses. For example, in a recent case…
DetailsIn litigating many dissolution cases, a material issue is often the determination of the real income of one or both of the parties to the case. The reason? The existence of perquisites and/or fringe benefits. It is common that a significant portion of the income generated from employment or by a self-employed business owner comes…
DetailsBy Ron J. Anfuso, CPA, ABV, CFF, CDFA, FABFA Not all marital dissolution cases require the services of a Forensic Accountant. However, many of the more complicated cases in this ever complex and changing area of law do. Some of the reasons to retain a Forensic Accountant are as follows: When unreported or underreported income…
DetailsMany people hear the term “fiduciary duty” and think it only applies to business relationships. In fact, divorcing spouses owe a fiduciary duty to each other. This means they must deal with each other fairly in the division of their assets, even when the assets include cryptocurrency. The Meaning of “Fiduciary Duty” in a Divorce…
DetailsFourth Appellate District: Michael O’Shea V. Susan F. Lindenberg, et al Presented by Ron J. Anfuso, CPA, ABV, CFF, CDFA, FABFA In a case for child support, after the court awarded O’Shea’s ex-wife what he believed was excessive child support, he filed a legal malpractice action. His most significant allegation of negligence was that Lindenberg…
DetailsBy Ron J. Anfuso, CPA, ABV, CFF, CDFA, FABFA* Case Cite: 53 Cal. App. 17, 199 P. 885Date: May 26, 1921Court: Second Appellate District, Division One This case involved apportionment of community and separate property business interests Background: In March of 1916, when Frank Van Camp married Euphrasia, he was the president and general manager…
DetailsBy Ron J. Anfuso, CPA, ABV, CFF, CDFA, FABFA This case involves apportionment of community and separate property for business interests and provides the guidelines for Forensic Accountants in valuing the community property interest in premarital businesses for dissolution cases. Background: Family Code §770 states that when a spouse owns a business at the date…
DetailsBy Ron J. Anfuso, CPA, ABV, CFF, CDFA, FABFA A new case typically begins with a phone call from a Family Law attorney who needs forensic accounting assistance on a case. My first action is to proceed with an intake procedure to ensure there is no conflict of interest. I ask for: • The client’s…
DetailsPeople choose Collaborative Divorce over traditional litigation when they want the divorce to be more amicable. The hallmark of a Collaborative Divorce is honesty. Both spouses are expected to provide full disclosure about all assets, both those known to be community property and those that they claim are separate property. In rare cases during the…
DetailsBy Ron J. Anfuso, CPA, ABV, CFF, CDFA, FABFA Forensic Accounting is the practice of accounting in support of litigation. A Forensic Accountant provides an accounting analysis suitable to the court that will form the basis for discussion, debate and ultimately judicial decision. A Forensic Accountant utilizes specialized accounting skills to conduct an investigation into…
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