Who does my income tax if I file for bankruptcy?

Your Trustee does your income tax return for you when you file for bankruptcy. In the year that you file for bankruptcy your Trustee does 2 separate returns. One from January 1st up to and including the day of bankruptcy (Pre) and another separate return from the day after the bankruptcy is filed until December 31st (Post). 

If there is an amount owing to Canada Revenue Agency (CRA) in the pre-bankruptcy period the debt will be included in your bankruptcy. If there is an amount owing in the post filing period, you will be responsible to pay that amount to CRA. If there is a refund in either the pre or the post return, the refund will be sent to the Trustee and the monies will form part of the bankruptcy for the creditors.

 

HenryFrancheville headshoulders 2016

Henry M. Francheville, CA, CIRP, Licensed Insolvency Trustee

Licensed Insolvency Trustees
Tel: 1-888-455-6060
www.freshstartatlantic.ca
Fresh start…the road to financial freedom