Alberta Bankruptcy

Author:

Anonymous

Question:

i owe approx 42000 in unsecured debt and back taxes to the gvt of over 10k ..i have had health issues in relation to my financial problems ..when i am able to work the only way i can is as a courier ...my truck has a value of aprox 16000 ..with out it i will have no income ..will i have to surrender my truck ? also will bankrupcy cover my taxes ..and i am considering a move to england ..will i be able to and will it follow me there , where if i gain employement i have to send my income back to canada?

From:

Alger & Associates Inc.

Date:

Jul 21, 2010

Answer:

A bankruptcy would take care of your debts including Canada Revenue. If you work as a courier there is an exemption for your vehicle as a tool of trade but it would have to be valued. You didn't mention if there was a secured debt attached to it. If not and you claim it exempt, you have to earn income with it. If you move to England then the exemption is not valid. You can relocate during a bankruptcy as long as you report and pay from where you reside.

Karen Rideout
phone: (403) 296-2973
krideout@alger.ca