| Author: |
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John Doe |
| Date: |
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October 11 , 2001 |
| Question: |
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I was discharged from personal bankruptcy in 95,(failed business) and in the 6 yrs since I have been battling an addiction problem, one that I think I can say is now sorted out. The problem is, in those past 6 yrs, I've not filed or paid income tax(Revenue Canada has seized my bank account). I had re-established my credit quite well but a good substance addiction can really cure that. I'm now in bad standing with a few major credit cards and banks. I've not delt with any of this in quite some time (fear I guess), and I'm wanting to get my life in order now. My question is: should I declare again, and what if any consequences could I expect for not keeping proper records since last discharge, and not filing tax? Is this the way for me to go(declaring again)?
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From: |
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Ann Clarke, Collins Barrow Limited |
| Date: |
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October 14, 2001 |
| Answer: |
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Bankruptcy is certainly an option, but you may want to consider doing a proposal instead since this would be your second bankruptcy in a short
period of time. A proposal is an offer to creditors, made through the
Trustee, to settle the debts, usually for less than 100% of the amount
owed. The terms of the proposal would depend on the size of your debt
and your current income and assets.
If you do file a second bankruptcy, there will be a court hearing for your discharge approximately one year later: all of the factors which
led up to and caused the financial difficulty are reviewed by the Court
to determine what kind of discharge you will receive. Your current
circumstances are also taken into consideration.
To discuss your unique situation in a free initial consultation, please call our Albert toll-free number 310-8888, or check the yellow pages for a Trustee office in your city.
Ann Clarke
phone: (403) 296-2972
aclarke@moneyhelp.ca
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