tools for work
I am a renovator who has no work and can`t pay my debts in my limited company. The only assets I have are the tools that I use for work that are worth about $15000. In personal bankruptcy those tools are protected. Is this so in the case of the corporation? or am I not protected. there are no leins against the tools.
Posted from: Ontario
They are not protected in a corporation – if you owe the government money for sales taxes or income taxes it is likely the government will put a lien on your tools to guarantee they get paid.
If you think your tools are worth $15,000 my guess is they are really only worth $2,000 or $3,000 in a bankruptcy so the problem may not be as severe as you think.
Use the links and call a trustee to discuss your options before it’s too late…