What happens in the case of divorice if I am the sole owner of an S-corp and most of the funds simply pass through to me in the form of a salary and dividends?

Get Legal Help Today

 Secured with SHA-256 Encryption

What happens in the case of divorice if I am the sole owner of an S-corp and most of the funds simply pass through to me in the form of a salary and dividends?

Then if I get divoriced does my wife get 50% of the business value or alimony? I would not think she would get both. Would that be considered double dipping?

Asked on December 20, 2012 under Family Law, Virginia

Answers:

FreeAdvice Contributing Attorney / FreeAdvice Contributing Attorney

Answered 9 years ago | Contributor

Given the facts of your question, assuming you wish to keep the S corporation that you have written about all to yourself in the event of a marital dissolution then you can give your soon to be "ex" some other marital asset to compensate for the value of the S corporation.


IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.

Get Legal Help Today

Find the right lawyer for your legal issue.

 Secured with SHA-256 Encryption