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Income tax debt

If I receive a discharge after the intial 9 months and then an additional 12 months ( 21 months ) can Canada revenue still come after me if there is still an outstanding debt. Can they at that point garnishee my wages, take any new assests or are they entitled to take an inheritance that occured after the discharge?

Posted from: British Columbia

One Response to “Income tax debt”

A licensed trustee said...

Once you have been discharged (presumably after the 21 months you indcated in your posting) none of your creditors, including the government, can pursue you for debt sthat were discharged as part of your bankruptcy. The discharge effectively eliminates the debt as far as you are concerned.

In regards to your inheritance, the critical date for determining who is entitled to the money is the date of death, not the date the funds are distributed. If the person died before or during the 21 months of your bankruptcy then the inheritance should be paid to your trustee (for the benefit of your creditors). If th person died after you were discharged (at 21 months) then the inheritance is paybale to you.

If your still unclear contact the trustee that handled your bankrutpcy and they will be able to tell you whether or not you are entitled to the money.