Bankruptcy Question
May 15th, 2006 by Questions
My boyfriend owes over $200,000 to the goverment due to the fact that his ex-wife didn\’t pay the income tax that was deducted from their employee that worked for him for over 3 years, plus his own personal deductions for that time. He is trying to decide whether to file for Bankruptcy but isn\’t sure how that works. He has a house and a truck, will those things be taken if he files? How does bankruptcy work, please help.
One Response to “Bankruptcy Question”
Please post a follow up comment below:
(Note: comments are reviewed by moderators and then posted after approval. In addition, due to high volume some of the comments might not be posted.)
You must be logged in to post a comment.
May 15, 2006 at 2:14 pm, Barton Goth, GCO Inc. Bankruptcy Trustees said:
The answers to these types of questions (specifically the assets) are based on provincial legislation and are good issues to discuss with a local trustee. As for the bankruptcy process, essentially it is a way that you can be cleared from the majority of your unsecured debt, and it usually lasts 9 – 12 months in length depending on how quickly one is able to comply with certain required tasks. For instance, in a bankruptcy each individual is required to make their mandatory trustee payment, attend 2 counseling sessions, keep track of their income and expenses for a minimum of 9 months and submit tax information to the trustee’s office. There can be some additional duties during a bankruptcy depending on the specifics of the situation, but most can expect that at a minimum these are the types of things they will have to complete.
The best thing to do is to contact a local trustee, they will be willing to provide a free consultation where they will review your situation and the options available and help you to determine what is going to be the best fit for your situation.