2024-09-25
What happens if I don’t fulfill my duties during a Bankruptcy?
Bankruptcy
If you’re going through a personal Bankruptcy, one of your main goals is to obtain your discharge — that is, to have your debts cleared so you can start fresh.
Questions on Income Tax Debt and Filing for Bankruptcy a Second Time
Yes it is possible to file an assignment in bankruptcy a second time and yes it would serve to extinguish or discharge your income tax debt.
If you have $200,000 or more of income tax debt and this represents more than 75% of the total unsecured proven claims, a court application for your discharge would be held upon the expiration of 24 months (if you don't have surplus income) or 36 months (if you do have surplus income).
If your tax debt is less than $200,000 you would remain eligible for an automatic discharge to be granted by the Trustee, however, the same time periods would apply i.e. 24 versus 26 months depending on whether or not you have surplus income.
Bradley Milne
CIRP, LIT
Senior Vice President
Servicing: Brandon, Killarney, Portage la Prairie, Neepawa, Virden, Souris, Deloraine
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2024-06-10
Life after Bankruptcy
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The fresh start you obtain after filing a Consumer Proposal or Bankruptcy offers many new paths for managing your day-to-day needs and planning for your future.
2024-05-30
How Often Can You File For Bankruptcy (MNP 3 Minute Debt Break)
Bankruptcy
Canadians are facing a cost-of-living crisis. With rampant inflation, many have taken on more debt just to make ends meet. With interest rates still high, some households might be considering declaring Bankruptcy for the first, second, or even a third time.
If this sounds like you, don’t worry — many people are in the same situation, and it isn’t anything to be ashamed of. Filing for Bankruptcy or entering a Consumer Proposal might be the solution you need to relieve financial stress and get a fresh start.
