In Re Marriage Of Hassiepen

646 N.E.2d 1348 (1995)

Facts

In October 1984, H and W were granted a dissolution of their seven-year marriage. They had three children. W was awarded custody of the children, and H was ordered to pay $400 per month in child support. The amount of child support was increased to $500 per month in June 1987. In 1988, W married John Hassiepen, an attorney with Caterpillar. In 1989, H married Brenda, and they live in Springfield and have one child together. In January 1991, W filed a petition to increase the child support payments to $950. W's husband, John, was acting as her attorney. H responded by filing a petition in May 1991 to decrease the child support payments. In June 1991, W amended her petition seeking an increase in child support, asking that H be required to pay $1,475 per month in child support. In July 1991, H filed a petition requesting the trial court to review the custodial arrangement and change custody by appointing him custodial parent of their three children. In May 1993, the court altered the visitation schedule. The trial court held several additional hearings regarding child support payments. In 1985, H began living with Brenda. H and Brenda decided to start an electrical contracting business, called Von Behren Electric. H had an old pickup truck and a drill that his father had given him. Brenda's credit cards were used to purchase other business supplies and materials. Brenda handled the general office work. H performed the electrical contracting work. Brenda was also a court reporter, and she continued to receive income from that job for about two years thereafter. H and Brenda opened a joint checking account. It was used for all personal and business transactions. They did not pay themselves wages or a salary but withdrew money from the account for both personal or business reasons. They put any money received into this joint account. Von Behren Electric was a success. The incorporated. Nelson, their accountant kept track of their expenses, separating all their transactions into personal and business categories. She also prepared a yearly profit and loss statement for the business. After incorporating, H and Brenda paid themselves an annual salary of $12,000 each. If they needed any additional money for personal expenses, they would merely withdraw this from the joint checking account. Von Behren Electric showed a net income of approximately $134,000 made on gross revenues of slightly over $500,000 in 1992. A 1992 profit and loss statement for commercial property that P owned under the name of Von Behren Properties, showed an additional net income of over $ 53,000. Their joint 1992 Federal tax return showed an income of about $23,000 and rental income of around $43,000, for a total of $ 66,000. W was a homemaker. The court found that the H Brenda business relationship was an equal partnership. The court held that H's 'net income for purposes of child support was determined by considering approximately 50% of the net income from the 1992 corporate and individual Federal and State income tax returns. P appealed.