Mr. Claudio

August 27th, 2012 by Questions

My niece is a single mother (separated) living with her mother and has not had any income in several years. She owes CRA about $170,000 from several years ago and has no other debts or any assets aside from her clothes and todler’s clothes. As she has no funds, is there any way for ther to claim personal bankruptcy?

Posted from: Ontario

Questions

One Response to “Mr. Claudio”



August 27, 2012 at 6:57 pm, A licensed trustee said:

There’s no such thing as a “free bankruptcy”. The usual cost to file in Ontario is around $1800, but given your niece’s very high tax debt she will likley have to go to Court and explain her situation – it wouldn’t surprise me if she is asked to pay a higher fee as a result. In addition, if she resides in the GTA she may be ordered to repay a portion of the tax debt – this depends on how the tax debt was incurred and what happened to the income that created the debt in the first place.

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