CCRA – Division 1 Proposal

November 5th, 2007 by Questions

My question is – CCRA represents approx 7% of my overall debt – If I offered a Proposal (Would be Div 1) – a lump sum payment % – are they bound by it like the other creditiors?

Questions

One Response to “CCRA – Division 1 Proposal”



November 06, 2007 at 12:27 pm, A licensed trustee said:

Unless your debt to the goverment is for unpaid Source Deductions in which case special rules apply, your tax debt is treated like any other debt. For a Div I proposal to be accepted by your creditors you need to have a majority in number and 2/3 in dollar value vote in favour of your proposal. If you can pass those two tests then all of your unsecured creditors, including CRA, will be bound by the terms of the proposal.

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