Commissioned Spouse of Bankruptcee

October 22nd, 2011 by Questions

I declared bankruptcy last year, and my wife is disclosing her income. My wife is a 100% commissioned sales person, making around $50K before expenses. She has been submitting her business expenses, and net income on the monthly schedule, however our trustee is discounting many expenses – ones that our accountant submits to Revenue Canada (successfully). The trustee also discounted medical expenses that were accepted by Revenue Canada. We are starting to lack confidence in the trustee’s abilities. What can we do? Can we ask for a different trustee? The discharge should happen mid-December, and we don’t know what the process is.


Posted from: British Columbia


One Response to “Commissioned Spouse of Bankruptcee”

, A licensed trustee said:

If you disagree with the calculation that your trustee is preparing you have the right to request Mediation from the Office of the Superintendent of Bankruptcy. If Mediation doesn’t resolve the problem you have the right to ask the Court to nreview the calculation to determine what you should be paying.

The fact that your wife’s accountant is allowing deductions that the trustee won’t may simply be a matter of perspective. Your wife is paying her accountant to produce the lowest taxable income possible. Just because CRA hasn’t disallowed any of her dedcutions doesn’t mean they are all legal… (It doesn’t mean they aren’t – there is a lot fo grey in the income tax act).

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