2025-06-30
Who Can File For Bankruptcy
Bankruptcy
There are several common scenarios which may cause you to wonder whether personal bankruptcy is an appropriate option to get out of debt.
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
Latest Blog Posts
2025-04-25
Top five mistakes to avoid when considering filing for bankruptcy
Bankruptcy
Filing for Bankruptcy is a significant decision that can provide a fresh start for Canadians overwhelmed by debt. However, it’s essential to approach this process with caution and awareness to avoid common pitfalls and make informed decisions to protect your financial future.
2025-04-11
Who will find out about my Bankruptcy?
Bankruptcy
Considering Bankruptcy and wondering who could find out? Rest assured; your information will stay mostly confidential.
