Consumer Proposal – Tax Returns
We filed for consumer proposal in 2011. We have been paying it off monthly and when our income tax came in it said there was a hold on it. We called and they said that they would release the payments. When we first got them we called the trustee and he said that the hold had nothing to do with them and it was our decision to forward the tax return to him or not. Today we got a call from the office from another person saying they did get it and we needed to send it to them. This is conflicting, if the trustee said we didn’t and we don’t send it in, what can happen? Is there a penalty for not giving it to them? We could really use every little bit that we get so would like to know how this would affect the proposal please.
Posted from: Ontario
If you included all of your tax refunds in the terms of your proposal then your creditors are entitled to them. If you did not inlcude your tax refunds in the terms of your proposal then your creditors are not entitled to them. Review the terms of your proposal and then call your trustee.