Inheritance during bankruptcy
I have declared bankruptcy on a small business ( non incorporated ) approx. 3 months ago . I am about to come into some inheritance from a family member .
Is that considered income that must be declared or would it be exempt ?
Posted from: Ontario
If you filed bankruptcy in your own name (which you would have done if you operated a proprietorship) then any inheritance is lost as part of the bankruptcy, this is not related to the cost of the bankruptcy it is an asset that you are not eligible to keep and must be used for the general benefit of your creditors. So you need to inform your trustee and provide him the contact details for the executor or the lawyer that is being used, failure to do so will cause you significant problems with obtaining a discharge from bankruptcy.