September 9th, 2008 by Questions
I am currently preparing my tax returns for the years ending 2000 to 2007 which I did not previously file to CRA. Based on the T1 returns that I have prepared, I owe approximately a total of $50,000. This amount does not include penalties and interest. Futhermore, I have not filed my GST return and I estimate I owe $20,000 in GST. Do I need to wait for the CRA`s notice of assessment for these years before I file for bankruptcy in order to provide the trustee with an accurate amount of how much CRA debt is owing? It will no doubt take CRA some time to assess the tax returns, so what happens if CRA subsequently assesses my tax obligation to be double or even triple the amount I have filed? How will this affect the bankruptcy if I file for bankruptcy with the assumption that I only owe $50,000 prior to receiving the CRA`s assessment (which could be more than the $50,000 initially claimed).
Posted from: Ontario