my wife of 3 years who i have a 2 year old and a 5 month old with has over 15 rentals under her name and has stock and investments as part of her regular monthly income, let say she makes $30,000 pretax a month. all i have is my regular full time of $4000 pretax. when we file for taxes the previous year, the househould income is under $100k a year for example, which shows i have more income on tax return but in reality she has over 10 times more income than me, because that’s after all her deduction and losses from the rentals. so if we file for divorce and goes to court, how will judge determine the income factor for child support? is it based on tax return?
Child support uses income from all sources to calculate the total support amount for children and then the amount owed/paid. If a person has a legitimate business, such as running rental houses, then they can deduct the legitimate business deductions to determine their net income. If you can present evidence to the court that her income tax return is not accurate then the court may use something different than the tax return. Another key component of determining child support will be the affidavit of financial information filed by both parents.