Might Not Be Able To Pay Taxes
Question: I am self-employed, and have never had trouble in the past, but because of some major legal issues facing the building I live in, the owners in the complex are now being charged several times the typical strata maintenance fees and levies each month.
I am realizing that all my money is being funneled into this, plus paying off a personal loan I had to take out for a previous special assessment in the several thousands of dollars, plus my mortgage payments, lus myBC Medical Services Plan payments twice a year for my family and I, plus payingfortrips to the dentist, plus power, plus property taxes, plus food and clothing for my wife and son, gas for the car, phone, internet (necessary for working from home), and still provide a few basic comforts for my family, namely the cable TV.
At the end ofthe day, I don’t know that I will be able to keep enough money to make my income taxes in April. Every timeItrytoput money away when I cash my cheque, something unavoidable and beyond my control comes along that eats that money up.
Because of the legal battles the building is involved in, it would be extremely unlikely anyone would want to buy my condo if I put it on the market to pay my taxes.
Someone half-jokingly told me I should become a drug dealer because there’s no taxes and the jail term is shorter than if you fail to pay income tax on legitimate earnings.
So, joking aside, is there anything I can do? I am on the verge of serious depression here because I fear I may be bankrupted by factors I can’t control. Please help.
Answer: Yes, there are many possible solutions, including a consumer proposal or personal bankruptcy. To decide which option is best for you, you should immediately make an appointment to meet with a trustee, who will review your monthly income and expenses and help you decide which option is best for you. The initial consultation is free, so the sooner you get help, the sooner you will be able to get a fresh start.