Legal Question in Family Law in California

Hiding assets in a divorce is illegal. Moving or transferring assets after a divorce is filed is also a violation of the automatic restraining orders that go into place when a divorce is filed. The penalty for hiding assets if you get caught is that the assets are given to the other spouse as their separate property, free and clear. In other words if you get caught hiding assets you lose the half of those assets that you otherwise would get. Violating the restraining order will result in fines and possible jail time. So the first thing you do if you want to hide assets is figure out if you are ready to lose the half the assets you would get, plus pay fines and maybe do some time in county jail. If you are ready to do that, the next thing to do is find yourself a crooked lawyer who knows a crooked accountant, because no honest lawyer or honest accountant will help you, and if you do it yourself you are sure to get caught.

You don't have to hide it anyway. It would appear from your post that the money is your separate property, and not community property.

You can not hide money or property in a divorce. If you do the full value of that property will likely be awarded to your spouse. Since it would appear to be separate property due to the fact that it was an inheritance, it is in your best interests to disclose the money.