I currently work in Alberta, have an Alberta driver's liscence and an Alberta residence etc, however my wife and children reside in Nova Scotia. I travel back and forth spending about 10 days per month in N.S. We are not legally separated. I am a consultant and am greatly in arears in income tax and see no way out except to declare bankruptcy. Is this going to affect my family in Nova Scotia, ie. are they going to take my childrens beds, computer and my wife's furniture etc. away? The value of the household contents are over $4,000. We do not own a home and my wife's car is in her name. I am the sole income provider.

If you are an Alberta resident and file for bankruptcy here your spouse's assets should not be affected. In a bankruptcy, household goods are valued at liquidation or garage sale prices and not replacement value so they rarely exceed $4,000 per person. You may want to contact an auction company to value your goods if you have extraordinary items such as antiques or valuable artwork etc. to be certain you fall under the exemption. Having a dependent family in another province raises some issues that your Trustee will be able to clarify for you.

Ann Clarke
phone: (403) 296-2972
aclarke@moneyhelp.ca