An Accountancy Corporation
In the last two issues of Forensic Accounting Today, I provided an overview of how law practices account for income and expenses, and introduced the background of an actual case study concerning income reporting. In this issue, I am providing the continuation of the case study. If you would like to review the initial Part…
In the last issue of Forensic Accounting Today, I provided an overview of how law practices account for income and expenses, including insight into how an attorney can possibly underreport his or her income. In this issue, I am presenting you with an actual case study concerning income reporting. The basis for this book chapter…
The following is an excerpt from “Income Reconstruction: A Guide to Discovering Unreported Income,” published by the American Institute of Certified Public Accountants. It provides insight into how a Forensic Accountant would trace nondisclosed income in one particular type of business. Overview of Law Practices:Reporting Income It is important to understand how law practices account…
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…
In 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…
Presented by Ron J. Anfuso, CPA, ABV, CFF, CDFA, FABFA Yes, California is a no-fault state. However, no fault relates only to grounds for the termination of a marriage. Financial fault, on the other hand, has no limits. It can lie in the past, present or future. In fact, it seems that as time passes…
The intent behind this article is to provide you a better understanding of two primary methods used in determining marital standard of living (MSOL) called Income Only and Subtraction. In part one, I focused on the Subtraction method through a brief explanation of the determination of marital standard of living in the case of In…
Historically, families’ living expenses have been used to determine a spouse’s marital standard of living (MSOL). Although this is typically the chosen method, it can be time consuming and expensive. One issue a judge must determine is the most appropriate time period to utilize in calculating MSOL. In practice, we have found three years is…