Ira Smith Trustee & Receiver Inc.

MORTGAGE DEFERRAL CANADA IS ENDING: 3 KILLER WAYS TO DEAL WITH COVID-19 RELATED MONEY PROBLEMS

Post author By Brandon Smith
Post date September 2, 2020

The Ira Smith Trustee Team is absolutely operational and Ira, in addition to Brandon Smith, is readily available for a telephone consultation or video meeting. We hope that you and your family are safe and healthy.

Mortgage deferral Canada introduction

The bulk of the home mortgage deferral Canada that banks have given to Canadians was approved in March and April. This was the time when the COVID-19 pandemic began taking a financial toll on the country with non-essential businesses shuttered and millions unemployed or seeing their earnings take a deep cut.

The Office of the Superintendent of Financial Institutions (OSFI) proposed actions planned to support federally regulated lenders to make sure that they would not experience problems due to the mortgage deferrals provided to help Canadians. The OSFI mortgage deferral help it provided to the lending institutions enhanced the security of the Canadian economic situation and monetary system when faced with obstacles postured by the coronavirus.

The mortgage deferrals are slowly coming to an end. This Brandon’s Blog discusses what you can do if you fear what your personal fallout will be when the mortgage deferrals end.

**How did mortgage deferral Canada work for the borrower?**

As of July 30, there were approximately $170 billion in mortgage deferments for the biggest 6 banks. The majority were established to unwind by September 30. Mortgage deferral Canada arrangements between Canadians and their financial institutions were truly an individual conversation. The federal government provided a wide overview, yet the specific arrangements between each borrower and lender were established individually as each case required. The significant style was that if a customer was struggling with financial difficulty because of the COVID-19 lockdown, mortgage payments would be deferred for an agreed-on, short-term amount of time.

Currently, these mortgage deferral Canada setups are slowly ending. The chartered banks are reporting that currently, for those whose deferments have ended, 80% to 90% are current in their payments. That means 10% to 20% of people who had a mortgage deferral Canada deal currently cannot maintain their mortgage payments.

**How did mortgage deferral Canada work for the lenders?**

OSFI told the federally regulated lending institutions and mortgage insurers they can deal with home mortgage financings for which a payment deferment is approved as being current. Payment deferments of as much as 6 months approved prior to August 31 and repayment deferments of up to 3 months approved after August 30 and on or before September 30 that it need not categorize such mortgages as impaired or revamped.

In April OSFI advised lenders that in circumstances where banks provide home mortgage repayment deferrals, those mortgages can continue to be dealt with as performing loans under the . Consequently, OSFI told the banks they did not need to increase their capital resource requirements based upon the home mortgage deferral Canada arrangements they provided. OSFI additionally told the loan providers that it would not assess such mortgage portfolios as having a larger credit risk.

For all federally regulated banks, OSFI specified that it is prepared to use flexibility for any that might need additional time to satisfy upcoming due dates for filing regulatory returns, on a case-by-case basis.

Where mortgages need to be insured due to being high ratio, there are insurance coverage costs that the lending institutions need to make to the insurer each month. OSFI likewise aided the banks and insurers, such as CMHC, by stating that it will not place the lenders or insurers offside when the monthly insurance premiums were not being paid as a result of the mortgage deferral Canada arrangements. OSFI also stated that deferments will not boost capital charges on unpaid premiums. OSFI told insurance providers that they can deal with a mortgage for which a deferment is granted as performing.

So with these OSFI initiatives, lenders can make mortgage deferral Canada happen and both lenders and mortgage insurance providers can treat the mortgages under these deferred home mortgage settlements and mortgage insurance payments, as not being in default.

Mortgage deferral Canada is ending – what can you do if you believe it will cause financial problems for you

OSFI has just stated that any type of mortgage deferral Canada plans past September 30, 2020, will now be subject to OSFI’s typical policies. People who need to start making their mortgage payments once again, but whose economic situation has not improved since the pandemic hit, are scared. I have read some “what to do” articles if you think you will have trouble making your normal mortgage payments. In my view, several have actually missed the mark. Some I have checked out start explaining how a consumer proposal or bankruptcy can help you.

Just so you know, a consumer proposal or bankruptcy cannot help you with the end of your mortgage deferral Canada. The reason it cannot help you is that your mortgage is a secured debt. Your mortgagee is a secured creditor, assuming its mortgage security is valid. A consumer proposal or bankruptcy is a method of dealing with your unsecured creditors. The mortgagee has rights if you default on your mortgage whether or not you are involved in a formal insolvency process. If you have too much debt and too little income to service all that debt, you may very well need to consider an insolvency filing. But it is not a direct answer to your mortgage deferral Canada ending.

mortgage deferral canada

So in order, here are my 3 top recommendations of what you could do when your mortgage deferral Canada deal with your lender ends and you believe you will be in financial trouble.

Take a critical look at your family household budget

I cannot emphasize enough just how essential the household budget is to your financial security. A spending plan is a listing of all income and your families’ costs. Do it on a monthly basis. It enables you to prepare how you need to spend your money and if there is anything left over each month for savings for an emergency fund or for investment. Rather than cash just flying out of your pocketbook, you make intentional choices on where you want your cash to go. You’ll never need to doubt at the end of the month where your money went or search for a hole in your wallet.

Numerous Canadians panic every month regarding where the cash will come from to pay their bills. A household budget will give you the direction you need. That direction should give you comfort. It reveals to you just how much you make and also what your costs are. If need be you can decrease unneeded costs or possibly tackle extra work to live within a well-balanced budget plan. No extra panicking at the end of the month.

So if you have a household budget that you follow, look at it carefully. If you don’t’ have one, prepare it immediately. Look at the last 6 months and see what your average monthly income has been and what your average monthly expenses were. List them all out line by line for both income and expenses. Then adjust any line that you believe will change in the coming months. Adding your normal monthly mortgage payment is one of those things that will need to be added.

Then take a look at it and see if you are spending less or more than you earn. If you are spending more, then you need to cut back on certain expenses, increase your income, or a combination of both. Take a critical look and slash any expenses that you can. Then see what that looks like.

If you feel that making your normal monthly mortgage payment will not be a problem, then terrific. Just follow your family budget and each month compare your actual to budget. Make any adjustments you need to along the way. However, keep spending less than you earn.

If your budget shows that you are going to have trouble making your normal monthly mortgage payment, then go on to my next step 2.

Speak to your banker

Get ahead of it. Contact your lender. Let them know that you have a current family budget and it shows that you may need added help when your mortgage deferral Canada deal ends. Your banker will be impressed that you:

have a current budget that you are tracking; and
you are being proactive and not causing the banker to chase you because you came up on the computer screen as a delinquent mortgagor.

That already makes you the most liked person in the 10% to 20% of people who are experiencing problems paying their mortgage. Hopefully, your lender can work something out for you that will help you.

Call me

If your budget shows that you do not have enough family income to pay all the families’ debts on a monthly basis and your lender cannot do anything to help you, then call me. I will take a critical look at your family budget and get more personal financial details from you. After reviewing all of it, I will give you my best recommendations to meet your unique financial challenges. Keep in mind that this is not your fault. The COVID-19 pandemic and the resulting shutdown of the Canadian economy continues to cause problems for the majority of Canadians.

Mention this blog, and I will not charge you a penny for this help. I truly want you to succeed.

Mortgage deferral Canada summary

I hope you have found this mortgage deferral Canada Brandon’s Blog interesting and helpful. The Ira Smith Team family hopes that you and your family members are remaining secure, healthy and well-balanced. Our hearts go out to every person that has been affected either via misfortune or inconvenience.

We all must help each other to stop the spread of the coronavirus. Social distancing and self-quarantining are sacrifices that are not optional. Families are literally separated from each other. We look forward to the time when life can return to something near to typical and we can all be together once again.

Ira Smith Trustee & Receiver Inc. has constantly used clean, safe and secure ways in our professional firm and we continue to do so.

Income, revenue and cash flow shortages are critical issues facing entrepreneurs, their companies and individual Canadians. This is especially true these days.

If anyone needs our assistance for debt relief Canada COVID-19, or you just need some answers for questions that are bothering you, feel confident that Ira or Brandon can still assist you. Telephone consultations and/or virtual conferences are readily available for anyone feeling the need to discuss their personal or company situation.

The Ira Smith Trustee Team is absolutely operational and Ira, in addition to Brandon Smith, is readily available for a telephone consultation or video meeting. We hope that you and your family are safe and healthy.

Tags Bankruptcy, budget, Capital Adequacy Requirements Guideline, cmhc, Consumer Proposal, coronavirus, coronavirus pandemic, covid-19, covid-19 pandemic, family budget, household budget, Ira Smith Trustee, monthly budget, mortgage, mortgage deferral, mortgage deferral canada, mortgage payment, mortgage payments, OSFI

Brandon Blog Post

INSOLVENCY CANADA: IS IT ILLEGAL FOR INSOLVENT COMPANY TO APPLY FOR THE CEWS

Post author By Brandon Smith
Post date August 31, 2020

If you would prefer to listen to the audio version of this insolvency Canada Brandon’s Blog, please scroll to the bottom and click play on the podcast.

Insolvency Canada introduction

Canadian business restructuring, a type of insolvency Canada, has been in the news lately and no doubt will continue to be for some time. The COVID-19 pandemic, the lockdown and general fear have affected everyone; both Canadian business, employees and all other Canadians. Everyone is forecasting that business insolvencies will rise as a result of the coronavirus.

An interesting question posed to us recently is, is it illegal for an insolvency Canada company to apply for the Canada Emergency Wage Subsidy (CEWS). I have written a couple of blogs specifically on the CEWS previously:

CANADA EMERGENCY WAGE SUBSIDY: HELPING YOUR COVID-19 BUSINESS RECOVERY

THE BEST CEWS EXTENSION NEWS REVIEWED

In this Brandon’s Blog, I discuss the concept of CEWS and try to answer the question about insolvent companies applying for COVID-19 support.

Insolvency Canada CEWS refresher

The CEWS was established for an initial 12-week period from March 15 to June 6, 2020, offering a 75-per-cent wage help to qualified firms. Then on May 15, 2020, PM Justin Trudeau announced a CEWS expansion for 3 additional months to August 29. The CEWS safeguards work by assisting organizations to maintain workers on the payroll as well as also encouraging firms to re-hire staff members previously laid off. To date, 296,030 employers, representing 924,970 applications, have applied to the CEWS program.

Former Finance Minister Bill Morneau then announced in July that the CEWS extension would consist of program changes that would broaden the reach of the program. It would certainly offer much better-targeted assistance to guarantee that more workers can return to their work without delay as the economy reboots.

The modifications announced in July for the CEWS extension would:

Prolong the program up until November 21, 2020, with the intent to provide additional support up until December 19, 2020.

Make the aid available to a more variety of companies to include those with a revenue decline of less than 30%.

Provide a slowly lowering base help to all eligible companies. This would assist various companies with much less than a 30% earnings loss get aid to keep employees.

Present a top-up aid of around an added 25 percent for companies that have really been most adversely affected by the pandemic. This would be particularly practical to firms in markets that are recovering far more slowly.

Offer assurance to firms that have really already made business decisions for July as well as August by ensuring they would not have their benefits less than they would have had under the previous CEWS program.

Address particular issues brought to the government’s attention by various stakeholder groups.

By helping people get back to work and sustaining companies as they try to grow their income, these modifications gave companies some certainty that they needed to recall workers. It is very possible that some employers would fall into an insolvency Canada category.

Insolvency Canada: The current CEWS statistics

The Canadian government has approved 910,940 of the total applications so far. The approved applications by value are:

Under $100K 863,700

$100K to $1M 44,990

$1M to $5M 2,010

Over $5M 240

Total 940,940

To look at is it illegal for an insolvent company to apply for CEWS, we first need to see what the requirements are. Could it be that applications have been made by insolvency Canada employers? For sure it is!

Insolvency Canada: When is an employer eligible for the CEWS

The CEWS was first set up through the passage of BILL C-14, A second Act respecting certain measures in response to COVID-19. It received Royal Assent on April 11, 2020. It establishes the rules for the CEWS program, as amended and extended.

For the purposes of the wage subsidy, an eligible employer is:

a company or a trust, besides a corporation or a trust fund that is excluded from tax obligation under Part I of the Income Tax Act or is a public institution;
an individual aside from a trust;
a registered charity (other than a public institution);
a person that is exempt from tax obligation under Part I of the Income Tax Act (aside from a public institution), that is:
- a farming organization;
- a board of trade or a chamber of commerce;
- a non-profit corporation for SRED activities;
- a labour organization or society;
- a benevolent or fraternal benefit society or order; and
- a non-profit organization;
a partnership where each member of which is an individual or partnership in this listing;
a prescribed company, including certain Indigenous companies or businesses.

As you can see, the list is very exhaustive. The legislation does not exclude an insolvent company or mention anything about insolvency Canada. The legislation also does not exclude a company that has filed for a corporate restructuring being either a proposal under the Bankruptcy and Insolvency Act (Canada) (BIA) or under the Companies’ Creditors Arrangement Act (Canada) (CCAA).

Insolvency Canada: How does an eligible employer qualify for the wage subsidy?

In order to get the wage subsidy in respect of a specific claim period, an eligible company needed to have on March 15, 2020, an open payroll program account with the CRA and was using that account to make its payroll remittances.

Concerning the revenue test, a company’s income for the subsidy includes its revenue earned in Canada on an arm’s length basis, calculated utilizing the employer’s regular bookkeeping approach. Companies can pick to calculate their earnings using either a cash basis or the accrual technique of bookkeeping. Companies have to make use of the method they select when they first make an application for the CEWS for the duration of the program. Employers cannot combine the methods.

When a qualified employer has computed its qualifying revenue for each and every relevant claim period, it would determine if it has actually experienced the needed reduction in income to qualify for the wage subsidy for that claim period. However, the company is under no obligation to prove that the decrease in income is connected to the COVID-19 situation. If it does not qualify for one claim period, it is not barred from determining if it qualifies for any other claim period.

There is nothing in the legislation that disqualifies an insolvent company that is an eligible employer from calculating if it meets the test for eligibility for the CEWS. The phrase “insolvency Canada” does not appear anywhere.

Insolvency Canada: It is not illegal for an insolvent company to apply for the CEWS

From my research, as described above, I have not found anything in the legislation that established the CEWS that would make it illegal for an insolvency Canada employer to apply for the CEWS. If you think about it, this makes sense.

The Canadian government was worried that companies shutting down meant all workers were laid off and be applying for the Canada Emergency Response Benefit (CERB). As the economy opened up again, the government wanted to make it easier for businesses to bring back some or all of their workers in a very unsettling and uncharted time. The aim of all the Canadian government support programs is to give assistance to struggling companies.

There is an implicit assumption that companies could very well be insolvent and would therefore not be able to reopen unless they had financial support. So not only is it not illegal for an insolvent company to apply for the CEWS, it is quite logical that an insolvent company would not reopen or if it did, not hire back many workers.

This is, in my view, one of the reasons why the CEWS was established; to bring back Canadian workers to companies that could not otherwise afford to pay its employees if it could not receive back a refund for what it was spending on wages or salaries.

Insolvency Canada: How would the CEWS be treated under a formal restructuring

Whether the company is restructuring under the BIA or CCAA, the treatment of the CEWS is the same. The CEWS is taxable. You need to include the amount you get on the company’s or business’s income tax return when calculating your taxed revenue.

You will certainly likewise be expected to report the amount of the CEWS that was used to pay each of your staff members’ incomes by utilizing a unique code in the “other information” area at the end of the respective employee’s T4 slip. That specific information on the reporting needs has not yet been made public by the government. It presumably will be before the end of the year.

So in either a BIA or CCAA insolvency business restructuring, the CEWS should be shown as:

revenue in any cash flow statement prepared with anticipated receipt dates;
income for accounting and financial statement purposes; and
disclosed in the Trustee’s/Monitor’s reporting to stakeholders.

If it turns out that the employer involved in a formal restructuring did not qualify for a CEWS payment for one or more of the periods that it applied and received one, then it is a liability to the government. How is that handled in the restructuring? There could be two answers. From my research, I do not see this specifically being addressed.

You may need to return all or part of the CEWS you have actually already received if you:

send to the Canada Revenue Agency (CRA) any type of modifications to a previous application;
terminate an application;
made a calculation or data mistake for a claim;
learn you do not qualify after getting a subsidy payment for a claim made; or
receive a notice from the CRA that, following an evaluation, your claim has actually been lowered or disallowed.

Any type of CEWS overpayment you received that is not returned will be subject to interest charges. In the very next insolvency Canada section, I discuss what kind of liability a CEWS overpayment would be in a formal insolvency restructuring.

Insolvency Canada: What kind of liability is a CEWS overpayment

The CEWS is a subsidy payment made to you by CRA based on an application the insolvent company makes. Unlike a claim for unremitted source deductions or HST, it is not an amount the insolvent company collected, held in trust for and failed to remit to CRA. So as far as I am concerned, it is not a trust claim. It would be an ordinary unsecured claim.

The overpayment claim may not necessarily be caught in the restructuring. If the insolvent company applied for the CEWS AND received the subsidy payment BEFORE making the restructuring filing under either the BIA or CCAA, then I believe it would be an ordinary unsecured claim in the restructuring. However, if the company applied for the CEWS AFTER filing for restructuring, regardless of the claim period, the overpayment claim would be a post-filing claim and not caught in the restructuring. All of the overpayment would have to be repaid notwithstanding the formal restructuring.

If not repaid, presumably CRA would offset any other amount payable to the company, such as for HST input tax credits, against the CEWS overpayment liability in such an insolvency Canada situation.

Again, I caution that none of this appears in the CEWS legislation. It is my opinion based on my experience and the review of the relevant legislation.

Insolvency Canada summary

I hope you have found this Insolvency Canada CEWS Brandon’s Blog interesting and helpful. The Ira Smith Team family hopes that you and your family members are remaining secure, healthy and well-balanced. Our hearts go out to every person that has been affected either via misfortune or inconvenience.

Ira Smith Trustee & Receiver Inc. has constantly used clean, safe and secure ways in our professional firm and we continue to do so.

Income, revenue and cash flow shortages are critical issues facing entrepreneurs, their companies and individual Canadians. This is especially true these days.

The Ira Smith Trustee Team is absolutely operational and Ira, in addition to Brandon Smith, is readily available for a telephone consultation or video meeting.

Tags Bankruptcy and Insolvency Act, Canada Emergency Response Benefit, canada emergency wage subsidy cews, CCAA, cerb, cews, cews extension, Companies’ Creditors Arrangement Act, coronavirus, coronavirus pandemic, corporate restructuring, covid-19, covid-19 pandemic, current cews statistics, formal restructuring, how does an eligible employer qualify for the wage subsidy, insolvency canada, Ira Smith Trustee, when is an employer eligible for the cews

Brandon Blog Post

WHEN ARE 2019 TAXES DUE CANADA: 4 AMAZING WAYS TO CRA PERSONAL DEBT RELIEF

Post author By Brandon Smith
Post date August 26, 2020

The Ira Smith Trustee Team Is Absolutely Operational And Ira, In Addition To Brandon Smith, Is Readily Available For A Telephone Consultation Or Video Meeting.

When are 2019 taxes due Canada introduction

I have noticed recently that Canadians are searching online the question “when are 2019 taxes due Canada“. That leads me to believe that many people are unclear about the changes this year. Some people are searching because they don’t want to miss the payment deadline. Others may be searching because they want to know when the deadline is that they are going to miss because of the COVID-19 pandemic has hit them right in the wallet or purse.

The purpose of this Brandon’s Blog is to go over for individuals:

the important tax filing and payment dates for 2019 taxes;
what needs to happen on those dates and what if you can’t make it on time; and
ways you can deal with Canada Revenue Agency (CRA) to eliminate your tax debt

I remind you that I and my Firm are not personal or corporate tax advisors. We are licensed insolvency trustees. This Brandon’s Blog is not meant to be income tax advice or to replace professional income tax advice. To learn when are 2019 taxes due Canada for your personal situation, contact your own professional income tax advisor.

Is the Tax Deadline Delayed for 2019 Tax Returns?

You may have wondered how COVID-19 influences the filing of your 2019 tax return, repayment of any income tax owing and your tax obligations generally in terms of deadlines, or payments or refunds and tax credits. Apart from those that are self-employed, the income tax return filing date is usually April 30 of every year.

Identifying the turmoil brought on by COVID-19, the CRA provided most Canadians extra time to submit a 2019 tax return. CRA provided us till June 1, 2020, aside from self-employed people operating as a proprietorship or partnership. For those self-employed people, the filing day remained June 15, 2020, for a 2019 tax return.

So since that due date has passed, nevertheless, this year there might be a technicality as I describe below. The government wants every cent they are owed and they want it in a good time. Thus, there are fines for filing a late income tax return if you have an unpaid tax amount. If you are entitled to a refund or your tax balance is nil, there will be no charges for sending in your return after the deadline date.

Charges for filing your income tax return late when you owe the CRA are levied. The CRA will charge you a late-filing penalty if you file your 2019 income tax return after September 30, 2020 (notwithstanding the actual filing date was June 1), and you owe tax obligation that continues to be unpaid. The fine is 5% of your 2019 tax owing, plus 1% of your income tax owing for each complete month your return was filed after September 30, 2020, to a maximum of twelve months.

So without making you any guarantees, there is a real possibility that if you missed out on the June 1 due date, if you submit and pay on or prior to September 30, 2020, and you do not have any kind of prior years’ late-filing penalty, one may not be levied for 2019.

If the CRA charged a late-filing penalty on your return for 2016, 2017, or 2018 your late-filing fine for 2019 may be 10% of your 2019 balance owing, plus 2% of your 2019 balance owing for each and every complete month your return was submitted after September 30, 2020, to a maximum of 20 months.

So it seems the CRA will forgo arrears interest on 2019 tax obligations related to the specific income tax returns from April 1, 2020, to September 30, 2020. This procedure for your 2019 tax obligation does not terminate penalties and interest on a taxpayer’s account prior to April 1, 2020, to September 30, 2020. It does make it less complicated on a taxpayer’s 2019 tax debt that it will certainly not rise via interest charges throughout this challenging coronavirus pandemic time.

Why file by the June 1 deadline if no payment is due until September 30?

Filing your income tax return on time lessen any negative results on your tax credits and benefits payments. If your 2019 return has actually not been assessed by the CRA, details from your 2018 return will be used to compute benefits as well as credits payments up until September 2020. That will guarantee you continue to obtain vital payments. Nevertheless, without filing your 2019 tax return, you may not be getting exactly the correct amounts you are entitled to.

I doubt you desire any kind of disturbance to benefit payments you get for government programs such as the Canada Child Benefit (CCB) and GST/HST tax credits, as well as amounts from provincial programs that are carried out by the CRA.

By filing a return by the due date, you will lessen this impact. Also, if you are owed a refund, the earlier you file, the earlier it will show up in your pocket. By registering for direct payment, you’ll get your refund quicker.

If you are expecting a tax refund for sure you would certainly want to submit on time. CRA may not chase you for it if you don’t owe them for 2019. Submitting your tax return is the only way to get that refund. Remember, a refund means that you gave too much of your money to CRA during the year. For sure you want it back!

However, registering for a direct deposit could lead to other problems. For more information on that, read my Brandon’s Blog CANADA REVENUE AGENCY LOGIN: MASSIVE CREDENTIAL STUFFING CAUSES MANY PROBLEMS.

When are 2019 taxes due Canada: Are there new deadlines for GST/HST returns and payments as well?

Excellent information for the self-employed as well as entrepreneur small-business owners: while the CRA is not changing the filing target dates for GST/HST returns, it is forgoing late filing charges for returns submitted by the end of June. As for payments, any type of GST/HST installments that are due March 27 through June 2020 can be deferred up until June 30, interest-free.

When are 2019 taxes due Canada: What is the payment date?

The target date to pay amounts owed was initially extended to September 1, 2020. On July 27, the CRA revealed that the payment deadline for a person’s 2019 income tax obligation was additionally extended to September 30, 2020.

There are a few other concerns surrounding the declaring of your 2019 income tax return and the payment of any balance owing that you must understand:

Some taxpayers may have received a Notification of Assessment that says the date for settlement is April 30, 2020, or September 1, 2020. If you did get such a notice giving those dates for when are 2019 taxes due Canada, it is now incorrect.
On May 15, it was revealed that qualified Canadians who are currently obtaining the GST/HST credit and/or CCB payments will continue to get them up until the end of September 2020. Benefits starting in July 2020 and those arranged for August and September won’t be disrupted.
If CRA is unable to evaluate your 2019 return by early September 2020, your estimated benefits and/or credits will certainly stop in October 2020 and you’ll have to repay the approximated amounts that were released to you starting in July 2020.
By prolonging the due dates for federal returns and instalments, the CRA is additionally expanding the due dates for provincial/territorial individual returns and instalments. Note that the CRA does not administer the tax system for the province of Quebec.

When are 2019 taxes due Canada: What if I owe CRA and cannot pay it?

If you find yourself to be in a financially challenging situation then you need to take proactive activity. The COVID-19 pandemic has hit Canadians hard. I envision there will be many individuals that do not have the needed cash to pay their 2019 income tax debt by September 30. It is necessary to be proactive and positive since the CRA has special powers.

The CRA does have the capacity to take collection procedures without having to go via the court system. The federal government can garnishee your wages or salary, get the money you have on deposit at a bank as well as freeze your bank accounts. They can also make demand on anyone they think owes you money.

There are 4 ways to CRA personal debt relief:

If you are able to, borrow the money you owe and pay it to CRA on or before September 30. I don’t think this option needs any further explanation.
Contact a CRA collection officer and make a payment arrangement repayment plan. A payment arrangement is an agreement you make with the CRA. This allows you to agree on a monthly amount to pay that you can afford and then provide CRA with a series of post-dated cheques.
Consider filing a consumer proposal to consolidate your income tax and other debts so you can make one manageable monthly payment. Through a consumer proposal, you will pay much less than the total of all your debts.
If you cannot see your way to being able to do any of the three options listed above, the final one is to use personal bankruptcy to eliminate your income tax and other debts.

If you are able to make a settlement arrangement you have to maintain the payment plan by making certain your regular monthly post-dated cheques clear the financial institution every single time. Also, ensure that all your returns are filed promptly. If you fail to do any of these things, they can terminate the payment arrangement and begin collection action to recoup the tax debt.

September 30, the date when are 2019 taxes due Canada is coming up fast. If you know that you will not be able to pay that liability, don’t fret and don’t waste time. Give us a call. We will help you put together the best strategy that meets your overall needs.

When are 2019 taxes due Canada: A consumer proposal

A consumer proposal is a government-regulated debt negotiation program submitted with a Licensed Insolvency Trustee (Trustee). The purpose of submitting one is to eliminate problem financial debts to make sure that you can start the process of resuming life debt-free.

It can just be filed with a Trustee. When you sign your papers, they are filed with the federal government. It is a legal process under the Bankruptcy and Insolvency (Canada) (BIA).

This procedure is a lawful arrangement between you and you’re unsecured creditors to eliminate all of your debt by repaying only a part of the debt that you owe. If a simple majority by dollar amount accept the terms you have offered, then your consumer proposal is binding on all your unsecured creditors.

This court-sanctioned procedure enables you to bargain negotiation with your creditors. When you are carrying out your consumer proposal by making your required payments, you must also file your income tax returns as normal. CRA manages your refunds in the normal course. If you owe tax for any time period after the filing date of your consumer proposal, you additionally pay that amount as regular.

In a consumer proposal, you maintain your assets and as long as you make all the required payments you promised to make, nobody can garnishee your salary or earnings. If you have filed a consumer proposal, personal income tax obligations arising before your filing is an unsecured debt. When you have filed CRA can’t take any type of additional action against you, like wage garnishment, or freezing your bank accounts. As the Trustee, we alert CRA once you file as well as advise it to stop any additional action against you.

For further information on how a consumer proposal could work for you, please get in touch with me. If you know that when are 2019 taxes due Canada you will not be able to pay them, give us a shout so we can help put together a plan of attack for you.

***When are 2019 taxes due Canada: Personal bankruptcy in Canada***

If none of the above ways can work for you, then you will have to consider personal bankruptcy in Canada. Personal bankruptcy should be considered by anyone who:

is insolvent;
has seen a Trustee who has assessed you and determined that you will not be able to complete a consumer proposal; and
owes more than $1,000.

As soon as you become bankrupt you will be required to surrender most assets to the Trustee, other than those that are exempt under provincial law or are fully encumbered. These assets will then be sold and the money gained from the sale of the properties will be dispersed according to the BIA. You may additionally have to pay a part of your earnings to the Trustee for the benefit of your creditors.

Personal tax obligations can be discharged when you receive your discharge from personal bankruptcy. Many various other financial debts will also be released. If you have liability to CRA from being a director of a company, those financial obligations can also be discharged.

If you have actually declared personal bankruptcy, personal income tax debt is an ordinary unsecured financial debt. As soon as you’ve applied for bankruptcy CRA can’t take any kind of additional action versus you, consisting of a wage garnishment or freezing your accounts. We will inform CRA when you file as well as instruct it to quit any additional activity against you to try to collect their debt.

Your spouse will not be affected by your bankruptcy unless your spouse:

co-signed a debt;
owns assets with you jointly; or
has received a transfer of property from you at a time when you owed CRA money.

A creditor can go after your spouse for payment in these circumstances and also he/she will be called to account and pay.

You may also wish to check out our Top 20 personal bankruptcy FAQs. So if you know now that when are 2019 taxes due Canada you will not be able to pay it, consider giving us a call and we can run through your various options and tailor a plan to fit your unique circumstances.

***When are 2019 taxes due Canada: Summary***

I hope you found this is Canada when are 2019 taxes due Canada Brandon’s Blog informative. The Ira Smith Team family hopes that you and your family members are remaining secure, healthy, and well-balanced. Our hearts go out to every person that has been affected either via misfortune or inconvenience.

Ira Smith Trustee & Receiver Inc. has constantly used clean, safe and secure ways in our professional firm and we continue to do so.

Income, revenue, and cash flow shortages are critical issues facing entrepreneurs, their companies, and individual Canadians. This is especially true these days.

The Ira Smith Trustee Team is absolutely operational and Ira, in addition to Brandon Smith, is readily available for a telephone consultation or video meeting.

Tags 2019 tax return, Are there new deadlines for GST/HST returns and payments as well, Bankruptcy, Canada Child Benefit (CCB), Canada Revenue Agency, Consumer Proposal, coronavirus, covid-19, CRA, GST/HST tax credits, Ira Smith Trustee, is the tax deadline delayed for 2019 income tax returns, licensed insolvency trustee, pandemic, Revenue Canada, self employed, tax filing, when are 2019 taxes due canada, Why file by the June 1 deadline if no payment is due until September 30

Brandon Blog Post

IS CANADA IN A RECESSION: OUR 9 EASY STEPS TO SOLVE COVID-19 INDUCED FINANCIAL PROBLEMS

Post author By Brandon Smith
Post date August 24, 2020

The Ira Smith Trustee Team is absolutely operational and Ira, in addition to Brandon Smith, is readily available for a telephone consultation or video meeting.

If you would prefer to listen to the audio version of this is Canada in a recession Brandon’s Blog, please scroll to the very bottom and click on the podcast.

Is Canada in a recession introduction

One question that people are searching online for answers is: Is Canada in a recession? Last month I wrote a blog titled Canada in recession: Will the economy fall into a great depression? In that blog, I described the views of Nouriel Roubini is a world-known economist and a professor of economics at New York University’s Stern School of Business. He has some stark current thoughts on just how bad the Canadian economy can go. I invite you to again read that blog to see what his thoughts are.

That blog accepted the signals that Canada is in a recession. The purpose of this Brandon’s Blog is to take a step back and answer the question: Is Canada in a recession?

Is Canada in a recession? What is a recession?

To begin to answer is Canada in a recession, we first need to understand what a recession is.

A recession is a short-term period of overall economic decline. Economies go via cycles, which implies there are periods of growth as well as durations of decline. The COVID-19 pandemic has actually thrust our economic climate into a decrease, a lot like just how a considerable, unanticipated expense can upend your own household budget plan.

The federal government identifies when our economy has actually entered a recession and when it has left by measuring key economic signals. These signs are sensitive to what happens locally and internationally. They include, for circumstances, declines in various industry sectors, agriculture or manufacturing, and also disruptions to international trade.

The C.D. Howe council defines a recession as a pronounced, persistent, and pervasive decline in total economic activity. It considers both GDP and employment as its major rulers. Is Canada in a recession? It stated that Canada is formally in an economic crisis and recession.

What did some economists forecast about is Canada in a recession

Economists were checking out financial indicators of the health of the Canadian economy near the end of 2019 and very early in 2020 to try and forecast the future. So, what were economists saying about is Canada in a recession?

What some economic experts were predicting prior to the coronavirus pandemic was that they really did not assume we would see one this year. However, on the other hand, last October David Rosenberg, chief economist at Gluskin Sheff & Associates, assumed there would certainly be an 80% chance of an economic downturn coming to Canada this year.

The complete level of its economic impact will certainly not be known for some time. It seems clear to economists that the United States will certainly go into an economic downturn in 2020 if it hasn’t already. Since 1970, Canada has experienced economic crises at roughly the very same time as the USA, showing the interconnectedness of the two economies. So it appears that all of North America is in a recession.

How bad will Canada’s COVID-19 recession be?

Canada is only now seeing the tip of the economic iceberg from COVID-19. It is clear that its economic effect will be like nothing seen since the Great Depression. Economists state the overview for employment and the economic climate will be stark. The only silver lining may be that the deepness and suddenness of the decrease might offer hope for a fast rebound.

As I previously reported, Dr. Roubini thinks there are pressures that not only would make is Canada in a recession, but it could go into a depression! His view is that there is going to be a U-shape recuperation due to the fact that this is an international shock. Both households and businesses will need to invest less and save more. Precautionary savings are most likely to go higher. Income is most likely to be lower. This will convert into much less business capital spending. He claims there will certainly be a worldwide investment slump due to a global savings excess.

**How long will this is Canada in a recession last?**

The rapid spread of coronavirus led to unprecedented personal, the social, and economic impact that caught the world largely unprepared. Although the government of Canada responded decisively with programs and grants to lessen the economic devastation, the recovery period remains to be seen. And by most indicators, this downturn is looking like a long and steep uphill climb.

If we’re looking specifically at negative growth, then economists anticipate that this trend won’t continue for long. There are 2 reasons:

Lockdown mandated by the government. Whatever was closed down by government mandate which takes place much faster than a shutdown due to economic issues.
Government bailouts. The government is supporting the whole economy. Yes, we’ll need to pay back the government in taxes eventually yet that can only occur when the economy is recovering. This suggests that economic growth will certainly be slower.

Parliament budget officer Yves Giroux believes that the Canadian deficit this year will strike $256 billion, consisting of a 6.8% decline in economic development, the most awful showing since the 1981-1982 economic recession.

Is Canada in a recession? Are there any predictors of a recession recovery?

Indicators like stagnant salaries, low home financial savings, as well as high consumer financial debt, don’t predict economic crises, yet they do forecast just how challenging the healing will be when an economic downturn hits. Below are some signs and symptoms that can indicate a recession:

the surge in joblessness;
an increase in bankruptcies;
defaults or repossessions;
the falling rate of interest;
reduced consumer spending;
decreased consumer confidence; and
falling asset prices.

A healthy and balanced labour market as well as a turnaround in the housing sector helped the Canadian economy expand at a modest rate in 2019. This supports the contention that in order to come out of an economic downturn, companies and consumers need to feel confident to invest and spend.

What can you do when is Canada in a recession

If you believe the answer to the question is Canada in a recession is yes, after that there are several things that you can do. I have written on these problems before under several headings such as financial literacy, household debt and the benefits of having an emergency savings fund on hand in case of, well, an emergency situation.

You can’t regulate the country’s economic climate, yet you can control your very own. Every person requires to take a look at:

Using this time to examine your overall household budget and figure out some practical yet difficult goals for your cash.
This is the time to live according to your emergency situation budget and look at what your typical spending plan will certainly resemble once you are back to work.
Consider your typical budget based upon what it looked like before COVID-19 hit and the insights you’ve gotten around your spending behaviours since you’re living more frugally.
Making a plan to eliminate credit card debt. Try to find a no or extremely reduced rate of interest balance transfer charge card to transfer the balance to if you have some credit card financial debt lingering around.
A strategy to include a savings element in your family budget will aid to shield you when you face a reduction or a full loss of your earnings.
Dealing with the pandemic as a wake-up call to recession-proof your funds. If your income was impacted by the pandemic, what length of time could you have survived had the government, banks and other financial institutions and different corporations not actioned in with procedures to get cash back into your wallet through deferrals?
Can you work at a couple of jobs that amount to providing you with a full-time revenue? This might first take some efficient networking before you can discover the appropriate mix of work.
Have an emergency fund all set up. It will go a long way to helping you weather a recession.
No matter your current scenario, the very best way to recession-proof you and your family is with an emergency savings account.

In the post-COVID years, there is a likelihood that lenders will be stingier with exactly how much cash they loan to customers. So guarantee that your budget permits constant debt repayment when you resume a stable income that resembles your pre-coronavirus income level.

That is exactly why it is crucial to focus on your financial situation now and take steps to guarantee your long-term personal financial stability.

Is Canada in a recession summary

It certainly feels that way. I hope you found this is Canada in a recession Brandon’s Blog informative. The Ira Smith Team family hopes that you and your family members are remaining secure, healthy and well-balanced. Our hearts go out to every person that has been affected either via misfortune or inconvenience.

Ira Smith Trustee & Receiver Inc. has constantly used clean, safe and secure ways in our professional firm and we continue to do so.

Income, revenue and cash flow shortages are critical issues facing entrepreneurs, their companies and individual Canadians. This is especially true these days.

The Ira Smith Trustee Team is absolutely operational and Ira, in addition to Brandon Smith, is readily available for a telephone consultation or video meeting.

Tags bankruptcies, budget, building an emergency savings fund, Canada, Canadian economy, coronavirus, covid-19, economy, emergency savings fund, family household budget, financial literacy, household budget, how bad will canada's covid-19 recession be, how long will this recession last, Ira Smith Trustee, is canada in a recession, recession

Brandon Blog Post

CANADA REVENUE AGENCY LOGIN: MASSIVE CREDENTIAL STUFFING CAUSES MANY PROBLEMS

Post author By Brandon Smith
Post date August 19, 2020

The Ira Smith Team is totally operational and both Ira and Brandon Smith are here for a telephone consultation, conference calls, and virtual meetings.

Keep healthy and safe everybody.

The Canada Revenue Agency login for its online services has been suspended after what became 3 separate cyberattacks. It ends up that the cyber assaults took place over a one week to 10 day period. The very first strike was the biggest, but, it was originally held under wraps. The news being reported last weekend was after the third strike.

Hackers utilized hundreds of swiped usernames and passwords to fraudulently acquire government services and compromise Canadians’ personal information. A data breach is never a good idea, yet this could not have actually come at a worse time.

The purpose of this Brandon’s Blog is to look at the Canada Revenue Agency login issues and what it means right now. It is not so much about debt issues. Rather, I combed through all publicly available information in order to do more of a public service announcement on this terrible event.

A total amount of 5,500 Canada Revenue Agency (CRA) accounts were targeted in what the federal government defined as three credential stuffing strikes, in which cyberpunks make use of passwords as well as usernames from other Canadian information websites to access Canadians’ accounts with the CRA. The CRA has actually temporarily closed down the Canada Revenue Agency login for online services after it was hit by these 3 cyberattacks.

Both personal and business tax information accounts have been banged with numerous credential stuffing assaults. It appears that these strikes used passwords and also usernames accumulated from previous hacks of accounts elsewhere. It made use of the fact that many individuals reuse passwords and usernames throughout several accounts.

Credential stuffing is a form of cyberattack that relies on databases of peoples’ login info made readily available with previous data breaches. The hackers utilize that information to try to get to new databases, such as using the Canada Revenue Agency login online site.

The violations allowed hackers to apply for illegal Canada Emergency Response Benefit (CERB) payments. It also allowed them to get email addresses, other personal information to use for identity theft scams as well as bank account information. Presumably, the hackers can then go to your bank account and try the same username and password to see if they can steal your money too.

Government authorities claim Canadians impacted by the Canada Revenue Agency login cyber attack will be informed by the CRA this week whether their account was breached and also what to do about it.

A variety of Canadians might have currently received alerts from the CRA by e-mail or phone over the weekend, officials claim. An email has additionally been sent out to every EI recipient, stated Lori MacDonald, the chief operating officer with Service Canada.

Nonetheless, some Canadians have discovered the breaches themselves.

Anybody who has actually been affected will certainly be contacted by the CRA either by e-mail or by letter, which will clarify exactly how to reconfirm your identity as well as recover access to your account. The CRA and other federal authorities did not yet give details on what’s called for to reauthenticate a breached account.

As soon as reactivated, the account owner will certainly be motivated to add email alerts as an added security layer if they already did not have the alternative activated.

“These notifications act as an early warning to Canadians of potential breaches to their account,” said Annette Butikofer, Assistant Commissioner and Chief Information Officer, Information Technology, Government of Canada.

The federal government is cautioning Canadians not to recycle old passwords after the thousands of accounts involved in the Canada Revenue Agency login breach were targeted in a credential stuffing strike.

Those impacted will additionally want to contact their bank if they had direct deposit info included in their CRA My Account. They will want to make sure that there has been no irregular activity in their account and to change the username and password immediately.

I am somewhat insulted and also embarrassed by the perspective taken by Annette Butikofer. She does not acknowledge that possibly CRA should have closed down the system after the first cyberattack. Why did CRA and Ms.Butikofer have to wait on 3 assaults? She likewise does not claim that our federal government should have had a far better system to protect against such a credential stuffing strike.

The credential stuffing cyberattack methodology has been understood for several years. To make it also worse, there has been credential stuffing cyber attacks on the United States government computer systems going in May 2020 surrounding COVID-19 benefits. Surely Ms. Butikofer knew of them and also could have executed new controls in May or June of this year to secure against the exact same type of assaults that came upon CRA in August 2020.

However, all she can appear to do is scold Canadians not to be so careless with utilizing common usernames and passwords. Just how about looking in the mirror to the person that did such poor work securing my personal details on the feds’ computer systems?

The decision to briefly put on hold the CRA’s online access comes as numerous Canadians still need to get COVID-19 -related benefit programs, such as the fifth round of the Canada Emergency Wage Subsidy (CEWS).

While on-line solutions are inaccessible, Canadians can still apply for programs like CERB, according to senior government authorities. Clearly this is not a perfect circumstance.

Canadians can use it by calling 1-800-959-8281. Canadians can additionally, still look for these benefits retroactively over the phone. Nonetheless, that contact number is a general number for all kinds of personal tax inquiries. Likewise, CRA has actually said that it is focusing on telephone calls from the victims of the strikes and is answering phone calls as promptly as feasible.

When calling the CRA, people can pick the report a suspected identity theft because of the Canada Revenue Agency login debacle alternative. This will presumably expedite their contact with a specialized representative suitably educated to handle these concerns.

Expedite may be a relative term. I am sure the wait time will be substantial. I sure hope they have some good music while people are on hold waiting.

The RCMP is examining, and the federal Privacy Commissioner has been spoken to and informed about the hacking violations. As of August 15, 2020, it was uncertain what info had been gotten by the hackers.

CBC News reported that numerous Canadians say e-mail addresses associated with their CRA accounts had actually been altered, their bank payment details modified, and those COVID-19 support payments under the CERB had actually been released in their name even though they had never applied for the benefit.

Authorities are also now trying to establish the number of government services and just how much financial assistance was acquired fraudulently. The RCMP and the Privacy Commissioner have been called upon to examine the range and scope of individual information stolen. I am rather terrified to think about the extent of the theft of both private information of Canadian taxpayers and government funds.

Privacy Commissioner Daniel Therrien has been promoting changes to the Privacy Act to make such breach immediate reporting mandatory. As it stands, government divisions just have to notify affected people in case of “material” breaches. Situations including the theft of sensitive personal details which fairly can be expected to create major injury or damage to people, such as this Canada Revenue Agency login breach, must qualify for reporting.

This Canada Revenue Agency login cyberattack is very scary. Our government has yet to say anything reassuring us as to what they are doing to protect our private information.

The Ira Smith Team’s family hopes you and your family are staying safe, healthy, and well-balanced. Our hearts go out to every person who has been affected either through inconvenience or personal family tragedy.

We are all citizens of Canada and we have to coordinate our efforts to stop the spread of the coronavirus. Social distancing and self-quarantining are sacrifices that are not optional. Family members are literally separated from each other. We look forward to the time when things can return to something close to normal and we can all be together again physically.

Ira Smith Trustee & Receiver Inc. has always employed clean and safe habits in our professional practice and continues to do so.

If you need financial help right now, feel confident that Ira or Brandon can still assist you. Telephone consultations and/or virtual conferences are readily available for anyone feeling the need to discuss their personal or company situation.

Are you now worried just how you or your business are going to survive? Those concerns are obviously on your mind. This pandemic situation has made everyone scared.

The Ira Smith Team understands these concerns. More significantly, we know the requirements of the business owner or the individual that has way too much financial debt. You are trying to manage these difficult financial problems and you are understandably anxious.

It is not your fault you can’t fix this problem on your own. The pandemic has thrown everyone a curveball. We have not been trained to deal with this. You have only been taught the old ways. The old ways do not work anymore. The Ira Smith Team makes use of new contemporary ways to get you out of your debt problems while avoiding bankruptcy. We can get you debt relief now.

We look at your whole circumstance and design a strategy that is as distinct as you are. We take the load off of your shoulders as part of the debt settlement strategy we will draft just for you.

We understand that people facing money problems require a lifeline. That is why we can establish a restructuring procedure for you and end the discomfort you feel.

Call us now for a no-cost consultation. We will listen to the unique issues facing you and provide you with practical and actionable ideas you can implement right away to end the pain points in your life, Starting Over, Starting Now.

The Ira Smith Team is totally operational and both Ira and Brandon Smith are here for a telephone consultation, conference calls, and virtual meetings.

Keep healthy and safe everybody.

Tags 1-800-959-8281, Annette Butikofer, can I still apply for benefit programs, Canada Revenue Agency, canada revenue agency login, cerb, cews, CRA, credential stuffing, cyber assault, cyber attack, Daniel Therrien, How do I know if I was impacted by the data breach, identity theft, Ira Smith Trustee, Privacy Commissioner, RCMP, What do I do if the Canada Revenue Agency hacking impacted me

Brandon Blog Post

FINANCIAL LITERACY IN CANADA: EXCEPTIONAL MONEY MANAGEMENT SKILLS ARE CRUCIAL

Post author By Brandon Smith
Post date August 17, 2020

The Ira Smith Team is totally operational and both Ira and Brandon Smith are here for a telephone consultation, conference calls, and virtual meetings.

Keep healthy and safe everybody.

If you would prefer to listen to the audio version of this Brandon’s Blog, please scroll to the very bottom and click on the podcast.

**What is financial literacy in Canada**

Financial literacy in Canada is having the skills and expertise to make informed decisions concerning managing your money. Recognizing basic financial ideas allows people to understand just how to navigate the financial system. People with financial literacy skills make better monetary decisions and handle cash much better than those without these skills.

We remain in uncharted waters currently in Canada. The COVID-19 pandemic has actually called for the Canadian government to give economic support programs to both individuals as well as businesses. Canadians’ 2019 personal income tax obligation payment due date has been extended and is due September 30, 2020. The Canada Emergency Response Benefit (CERB) payments are ending soon. The Canada Emergency Wage Subsidy (CEWS) will end in December 2020.

Where will Canadians end up when government subsidies end? LendingArch has reported that there has been a 1000 percent increase in demand for debt relief and loan refinancing among Canadians. So I thought it would be an opportune time to discuss the state of financial literacy in Canada.

**Why is financial literacy in Canada important?**

Financial literacy in Canada requires to begin with student education. It will aid students to:

Thoroughly consider their money options. This can relate to daily decisions, like acquiring groceries to bigger investments, like spending for tuition or getting a vehicle.
Understand fundamental money management.
Create their very own point of view on financial issues, such as rates of interest, home mortgage guidelines, or the Canadian or worldwide economy.

Financial literacy in Canada and money management go hand in hand

Establishing excellent finance practices like budgeting at an early stage in life is essential to financial wellness in the long term. Without fundamental financial literacy abilities, individuals are a lot more quickly tempted right into financial debts: utilizing credit cards, extending lines of credit, and also taking out high-interest predatory loans, without totally comprehending the ramifications of paying back those financial debts.

Many individuals have a difficult time talking about money at home too. The research I talk about below shows that typically, Canadians’ financial literacy in Canada is above average. Nonetheless, at the very least one study reveals Canadian moms and dads prefer to speak to their youngsters regarding sex than money matters. Not comprehending the fundamentals of finance could send their children into a financial freefall. The topic of this blog is not sufficiently wide to talk about the ramifications of children not understanding the concepts of responsible and safe sex!

Perhaps it comes down to financial preparedness and confidence.

**How is financial literacy in Canada assessed?**

The Programme for International Student Assessment (PISA) is an international survey that intends to assess education systems around the world by evaluating the abilities and also understanding of 15-year-old pupils in topics like science, math, reading, joint problem resolving, and financial literacy.

In the 2015 PISA survey, Canada took part in it for the very first time. PISA does not measure academic success in relation to each institution’s curricula. It does examine pupils’ capacity to apply understanding and abilities as well as to examine, reason, and also connect effectively as they examine, assess, and resolve problems. The results supply a crucial standard step for financial literacy in Canada.

The Council of Ministers of Education, Canada (CMEC) reported that in 2015, Canadian 15-year-old students attained an above-average score. Amongst the 15 countries and economies that joined the 2015 PISA financial literacy study, only one, China, outmatched Canada.

A different 2015 research revealed that overall Canadians stack up well on financial literacy contrasted to their peers in other places of the world. For example, the 2015 Organisation for Economic Co-operation and Development (OECD) Survey on Measuring Financial Literacy and Financial Inclusion measured respondents’ financial knowledge, attitudes, and behaviours. It ranked Canadians’ overall financial literacy third out of 29 countries.

The results were that only 61% of Canadians could correctly answer five of seven financial knowledge questions. That is what gave Canadians’ overall the financial literacy standing of 3rd place.

So it appears based on these 2015 studies, that Canadian youth on average as a group score better than Canadians as a whole, although overall financial literacy in Canada is above average. Presumably, it is the Canadian school system teaching financial literacy that might account for the overall better performance of 15-year-old Canadians versus a mixed age group.

**How is financial literacy in Canada taught in Ontario schools?**

The Ontario government has recently overhauled its financial literacy education and learning program. Pupils in grades 4-12 learn about financial literacy so they can comprehend just how to make enlightened financial choices.

Financial literacy belongs to the elementary and secondary schools’ educational programs in many different subjects such as mathematics, social studies, Canadian and world studies and also business studies. In some subjects, pupils may be learning details of and abilities for understanding money and money management, consumer education, savings and budgeting. This will certainly help them create financial literacy in Canada abilities. In various other subjects, financial literacy connections may be made as pupils learn more about their place in the world, as a responsible and caring person or when they examine different economic systems.

**What resources are available to teachers for classroom use to teach financial literacy in Canada?**

Via the educational program, pupils are creating abilities in critical reasoning, decision-making as well as solving problems that can be applied for both education and also to real-life circumstances. Resources have been created for teachers to help them connect financial literacy topics across the curriculum to grow the students’ discovering and making financial literacy in Canada much more meaningful to them.

Teacher videos, guides and lesson plans are developed to supply financial literacy teaching are developed to assist.

**What resources are available for teachers to help parents support their children’s financial literacy in Canada?**

Moms and dads have an essential duty to play in supporting their children to create the skills, knowledge, and behaviours to navigate today’s significantly complicated economic world. Parent resources have been established to highlight the Ministry of Education’s financial literacy in Canada methodology and to direct parents in engaging their youngsters in financial literacy matters. These sources can be made use of to support discussions at parent-teacher evenings, student fairs, and various other parent-child learning situations.

The Financial Consumer Agency of Canada has actually developed an outline based on best practices in assessment methodology and what it has discovered in assessing its very own financial literacy sources and program. The provincial Ministries of Education have developed their very own programs as mentioned above with this guidance.

Even though on average Canadians score above average in a financial literacy test, Canadians still don’t feel confident they know everything they can about financial planning.

Huffington Post Canada reported that over half of Canadians are only $200 away from insolvency, and 31 percent don’t make enough to cover their bills, according to a recent poll of 1,500 Canadians.

Alison Carson, Oakville, Ont. high school teacher wished she found out the most effective method to invest her money. As a teacher, a large part of her paycheque goes into her pension plan. She says she relies upon her employer to invest her money in such a way that will offer her the very best retirement possible. However, she doesn’t know enough regarding exactly how it all works to keep track of it.

“I just trusted that if there was a problem … that someone more financially literate than me would’ve figured that out, and there would be some article written about it, and I would read the article,” she said.

**Ontario Securities Commission Investor Education Fund (IEF) supports financial literacy in Canada**

Started by the Ontario Securities Commission, the IEF site offers individual finance advice for consumers in various life situations as well as resources for instructors and students. It supplies an excellent introduction of the major types of investments – stocks, bonds, mutual funds, RRSPs – as well as uses a range of calculators, worksheets and tests.

This website, which combines the instructional resources of all 12 U.S. Federal Reserve Banks and the Board of Governors of the Federal Reserve, offers public and class resources on business economics, personal finance, banking, and money management. It also offers interactive tools and games for grades K to 12; as well as web links to various other sites of financial education and learning (within and outside the U.S. Federal Reserve system).

This is their contribution to financial literacy in Canada.

Financial literacy in Canada summary

I hope you enjoyed this financial literacy in Canada Brandon’s Blog. November is Financial Literacy Month in Canada. Throughout November, organizations and individuals from across the country are encouraged to host and participate in events and share resources aimed at helping Canadians learn how to manage their personal finances successfully. But we don’t have to wait until then to begin learning.

The Ira Smith Team family hopes you and your family are staying safe, healthy and well-balanced. Our hearts go out to every person who has been affected either through inconvenience or personal family tragedy.

Ira Smith Trustee & Receiver Inc. has always employed clean and safe habits in our professional practice and continues to do so.

Revenue and cash flow shortages are critical issues facing entrepreneurs and their companies and businesses. Should you take advantage of the CEBA? I say a resounding YES!. I just wanted to highlight all of the issues that you should consider.

Are you now worried just how you or your business are going to survive? Those concerns are obviously on your mind. This pandemic situation has made everyone scared.

We look at your whole circumstance and design a strategy that is as distinct as you are. We take the load off of your shoulders as part of the debt settlement strategy we will draft just for you.

We understand that people facing money problems require a lifeline. That is why we can establish a restructuring procedure for you and end the discomfort you feel.

The Ira Smith Team is totally operational and both Ira and Brandon Smith are here for a telephone consultation, conference calls and virtual meetings.

Keep healthy and safe everybody.

Tags budgeting, Canada Emergency Response Benefit, canada emergency wage subsidy cews, Financial Consumer Agency of Canada, financial literacy, financial literacy in canada, financial wellness, how is financial literacy taught in ontario schools, How is financial literacy assessed, i need financial help right now, Ira Smith Trustee, money, money management, What is financial literacy, What resources are available for teachers to help parents support their children's financial literacy, What resources are available to teachers for classroom use to teach financial literacy, why is financial literacy important

Brandon Blog Post

WHAT HAPPENS IF YOU DIE WITHOUT A WILL IN ONTARIO? READ OUR INTENSE ANALYSIS

Post author By Brandon Smith
Post date August 12, 2020

We hope that you and your family remain safe and healthy during this COVID-19 pandemic. The Ira Smith Team is fully operational. Both Ira and Brandon Smith are available to answer any questions you may have, for consultations or meetings. We are available by telephone, email or video meeting. Feel free to contact us.

what happens if you die without a will in ontario

What happens if you die without a will in Ontario introduction

I have been speaking to many lawyers to see what is happening in their marketplace since the onset of the COVID-19 pandemic. What they tell me is that many areas of their practice are quiet:

Litigation and family law has slowed down because of the closure of the courts (other than for emergency matters).
Both the courts being closed and people and companies obtaining government financial support through Canada’s COVID-19 Economic Response Plan have slowed insolvency matters right down.
They also have said that there are not many large commercial real estate deals being done either, perhaps other than many lease amendments for mall landlords!

The one area though they say is very busy, due to the coronavirus pandemic, are the wills and estates lawyers. People are scared and this pandemic has made all of us face our own mortality. Therefore the wills and estate planning areas are quite busy.

Based on that discussion, I thought it would be timely to write Brandon’s Blog about what happens if you die in the province of Ontario without a will?

Composing will is commonly put-off because it is either expensive or troublesome. For sure it is not the most pleasant discussion to have.

The purpose of this Brandon’s Blog is to offer general details about what happens if you die without a will in Ontario. I am not a lawyer so this Brandon’s Blog is general in nature. It definitely is not meant to and must not be used as or to replace appropriate legal recommendations. So if you do not have a will or your will is terribly out of date, please consult with a wills and estates lawyer.

What happens if you die without a will in Ontario?

If you pass away without a will, the law states that you have passed away intestate. This means that you left no guidelines as to exactly how your property is to be divided and dispersed. In these circumstances, the Ontario Succession Law Reform Act regulates how your property will be dispersed to your surviving loved ones. Even if you desire your assets split according to Ontario legislation, you need to still have a will because it will certainly minimize hold-ups and the costs involved in dealing with your affairs.

So the Succession Law Reform Act, R.S.O. 1990, c. S.26 will dictate things and that is what happens if you die without a will in Ontario.

Dying intestate…who does that?

“Intestate” is a legal term that means “without a will.” According to the National Association of Estate Planners, approximately 1 in 50 people in the USA die without a will. And many of those people are famous, including modern movie stars and other famous people. The following list includes some famous people who died intestate:

Jimi Hendrix
Bob Marley
Sonny Bono
Stieg Larson
Pablo Picasso
Adam Goldstein aka DJ AM (who?)
Michael Jackson
Steve McNair
Howard Hughes
Abraham Lincoln
what happens if you die without a will in ontario

How is an estate is distributed If you die without a will in Ontario?

When an individual passes away without a valid will, it is called intestate. Ontario’s Succession Law Reform Act (the Act) lays out how the estate is dispersed.

According to the Act, unless someone who is financially dependent on the dead person makes a claim, the initial $200,000 of value is given to the departed individual’s spouse if she or he has chosen to claim his/her privilege. This is called the preferential share. The other possibility is to declare half of the net family property under the Family Law Act (Ontario). A lawyer will be very helpful in helping the spouse decide which is the better choice.

Anything over $200,000 is shared between the spouse and the descendants (e.g. children, grandchildren) according to specific policies. If there is no partner, the departed person’s kids will acquire the estate. If any one of them has died, that child’s descendants (e.g. the dead individual’s grandchildren) will inherit their share.

Assuming there are no legal challenges to rights to the property, this is what happens if you die without a will in Ontario. Where a spouse, children and grandchildren are involved, this is not a good place to leave them in.

What is a wife entitled to if her husband dies without a will?

Adding to what I just described, the Family Law Act defines a spouse as a married individual, and the term spouse in this family law legislation does not mean co-habiting parties or common-law spouses. Under this Act, a married spouse is entitled to get one-half of the amount through which the deceased person‘s net family assets exceed the net family assets of the surviving spouse.

This equalization payment makes certain that the spouse who is alive has the opportunity to share equally in any in the value of the assets that the couple made over their marriage. As I previously stated, the surviving spouse should elect to accept this payment OR to take what they are entitled to under the Act.

Under Ontario family law, assuming the surviving spouse does not own the matrimonial home outright or as a joint tenant with the deceased spouse, the family law statute in Ontario gives the surviving spouse certain rights. In that case, that spouse also has the right to continue to be in the matrimonial home for a period of 60 days following the death of their spouse, on a rent-free basis.

So as you can tell, there will be a lot of pain and uncertainty to the surviving spouse and that is what happens if you die without a will in Ontario.

Who will be in charge of my Estate?

Someone, such as a close loved one, will need to apply the court to be designated as the estate trustee without a will (Estate Trustee). The Estate Trustee has the exact same tasks as an executor, the only difference is that the Estate Trustee can’t start to act until the court gives permission. This can take a while, such as a busy court in the city of Toronto. As well as if nobody steps up, then the court will certainly have to designate a public trustee.

Once the Estate Trustee is appointed, they can then apply for probate in Ontario. Probate is a process to ask the court to:

Provide a person with the authority to serve as the Estate Trustee of an estate.
Or validate the authority of a person called the Estate Trustee in the deceased’s will.
Formally accept that the deceased’s will as their legitimate last will

The court then issues a Certificate of Appointment of Estate Trustee With A Will when there is a will. As I mentioned above, if the person dies intestate, then the court issues the Certificate of Appointment of Estate Trustee Without A Will.

Here is a picture of what a Certificate looks like. It is redacted from one of our Estate Trustee files where the original Estate Trustees named in the will renounced their role:

what happens if you die without a will in ontario

With the Certificate, the Estate Trustee can prove to anyone of his or her authority. This is especially important because that is the document all banks look for before handing over money from the deceased’s bank accounts to the Estate Trustee. In the case of someone dying intestate, the appointing court order will serve as proof until the court then issues the Certificate.

Ira Smith Trustee & Receiver Inc. accepts assignments in acting as an Estate Trustee. The skills needed are very similar to ones we already have in acting as a licensed insolvency trustee. We do our Estate Trustee assignments under the name Smith Estate Trustee Ontario.

Having a will certainly enables a person to start acting on your behalf instantly after you pass away. If not, this is what happens when you die without a will in Ontario.

Duties of the Estate Trustee

As Estate Trustee we determine and locate all of the assets of the deceased. We must also identify all of his or her liabilities also. We need to make sure that funeral arrangements have been made and that the funeral costs and any other funeral expenses have been paid. We must understand the true nature of the assets and their market value. The administration of wills and estates (unless otherwise directed in a will) dictates that we must then sell them.

The Estate Trustee also needs to prepare all necessary income tax returns, pay all taxes owing as well as other debts. If there need to be any investigations, or if the estate is involved in litigation, the Estate Trustee must complete and manage those processes also.

The balance of funds left over after settlement of the liabilities and payment of all expenses, including those of the Estate Trustee and its legal counsel, creates the assets readily available for distribution from the estate. The Estate Trustee is a fiduciary and must perform the duties impartially. The Estate Trustee is also personally liable if any mistakes are made which causes one or more parties to suffer damages.

The duties and responsibilities of the Estate Trustee do not change whether or not there is a will. Without a will, what happens if you die without a will in Ontario is that you have lost the choice to appoint who you think will do the best job for your estate.

What happens to your property if you die without a will in Ontario?

Lots of people erroneously believe that the government takes the property from the deceased’s estate if you die without a will. Relax, that is not what happens if you die without a will in Ontario.

While of course, it is always better to have a will to direct what ought to take place to your assets after death, the law attempts to equitably distribute the assets of the deceased amongst the deceased’s spouse, children or grandchildren, as I have already described and further described below.

Who will get my Estate?

Without a will, you cannot pick who you’d like to receive the benefit of your estate. You can’t leave money to a charity you appreciate, you cannot leave any gifts to close friends and also you cannot allot money to cover the expense of taking care of your furry relative. Your estate will be dispersed using the provincial regulations that I already described. They have really little versatility and this is exactly what happens when you die without a will in Ontario.

what happens if you die without a will in ontario

What do children get when a parent dies without a will?

As already gone over, the Act sets up a scheme to divide the estate of a person who passes away without a will. If the deceased had assets worth less than $200,000 at the time of their death, their spouse will be entitled to the entire estate.

If the assets of the deceased are worth more than $200,000, after that preferred share amount (and the payment of all expenses of the estate), the remainder of the estate will be split as shown in the following examples:

The deceased had a spouse and an only child. They each will get 50% of the rest of the estate.
If the deceased had a spouse and more than one child, then you need to add up the total number of people. So, if there were three children, then, including the spouse, there are 4 people. The spouse and each child will get a 1/4 equal share of the remainder of the estate.

Under an intestacy, children have rights to both property and if applicable, support under the Act. However what occurs if an estate is worth $200,000.00 or much less and the children are entitled to support? The legislation of intestacy recommends that all the money goes to the spouse of the deceased to go towards the preferential share.

If required, the minor children, or their guardian, can bring a court application against the estate for assistance due to the fact that the children are specified as dependants under the Act. The child or children are primarily claiming, my deceased mom or dad had a legal commitment to support me at the time of his/her fatality. I still require to be supported. The court under those instances may access the assets of the estate, and various other assets such as insurance coverage or assets owned jointly with the deceased’s spouse, to fund an order for the support of those dependent children.

As you can see, what happens if you die without a will in Ontario can be very troubling for your loved ones, especially dependent children who do not deserve those problems. This alone should be a great reason for you to not hold of any longer in having an up to date will.

Who will take care of your dependent children?

If the dependent children don’t have another parent, the court will select a guardian for them. The guardian acquires all of the legal rights as well as the responsibilities of a mom or dad. There is no guarantee that the guardian will be the individual you think will certainly do it the best. The kids’ inheritance will be kept in trust until they reach the age of majority. This is what happens if you die without a will in Ontario.

What About Other Relatives?

If the deceased that died intestate leaves no spouse or kids living at the date of their death, then their estate is split between their parents. If they have no parents, it is then split among their brothers and sisters. If they have no brothers or sisters surviving them, it is shared amongst their nieces and nephews who are blood-related. If they have no blood-related nieces or nephews, after that it is dispersed amongst their next closest blood relative.

When an individual dies having no will and no blood relatives surviving them, only then will their net property end up being the property of the government. This is what happens if you die without a will in Ontario.

What happens to debt if you die?

I am regularly asked what happens to debt if you die, in addition to what happens if you die without a will in Ontario. I have written several blogs on the topic.

They are:

What happens if you die without a will in Ontario summary

I don’t know if the word “enjoyed” is appropriate for this topic. So, I will say that I hope you found this what happens if you die without a will in Ontario Brandon’s blog informative.

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We provide a full range of services to provide solutions for the complex Estate issues to end the pain and frustration the stakeholders are experiencing. We apply our expertise and creative thinking to take care of all details to end your pain and achieve the goals of the beneficiaries and other stakeholders. Contact Smith Estate Trustee Ontario today for your free consultation.

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We hope that you and your family remain safe and healthy during this COVID-19 pandemic. The Ira Smith Team is fully operational. Both Ira and Brandon Smith are available to answer any questions you may have, for consultations or meetings. We are available by telephone, email or video meeting. Feel free to contact us.

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Brandon Blog Post

CCAA CANADA: OUR EXTRAORDINARY GUIDE TO 2020 TROUBLED CANADIAN COMPANIES SEEKING BANKRUPTCY PROTECTION

Post author By Brandon Smith
Post date August 10, 2020

The Ira Smith Team is totally operational and both Ira and Brandon Smith are here for a telephone consultation, conference calls and virtual meetings.

Keep healthy and safe everybody.

If you would prefer to listen to the audio version of this Brandon’s Blog, please scroll to the bottom and click play on the podcast.

CCAA Canada introduction

We are now about 5 months into this COVID-19 pandemic since the state of emergency was announced in Canada. There has also been a lot of media coverage of the many negative effects it has had on Canadians and the Canadian economy. I thought it might be interesting at this point to do some review on CCAA Canada. Now I am not talking about the Canadian Collegiate Athletic Association. Rather, I am going to look at the companies that have so far filed for creditor protection under one of Canada’s insolvency statutes. The Companies’ Creditors Arrangement Act.

When a company tries to reorganize under CCAA Canada – What does CCAA mean?

When Canadian companies who owe more than $5 million experience financial problems, they might go to court to seek creditor protection, filing under the CCAA Canada. That’s federal legislation that primarily offers a company time to try to work out its financial troubles with those to which it owes money.

As I have written before in various Brandon’s Blogs, if the company owes less than $5 million it can file under the Part III Division I reorganization section of the Bankruptcy and Insolvency Act (Canada). Although it is the other Canadian federal insolvency statute and some procedures are more streamlined and handled slightly differently, the net effect is the same as the matters I explain below about the CCAA Canada.

What does CCAA Canada protection mean? CCAA vs Chapter 11

“Bankruptcy protection” is a term closely associated with a US company filing under Chapter 11 of the US Bankruptcy Code. That term has been adopted into the Canadian insolvency dialogue. In Canada, it most likely means that the Canadian company has applied to a Canadian court to look for protection from their creditors by filing under CCAA Canada.

A firm files under CCAA Canada for consent to come up with a restructuring plan strategy that would certainly provide it time to rearrange its financial affairs to make sure that it can keep operating.

As long as a CCAA order continues to be in place, creditors are not allowed to start or continue any kind of action to recover money owed to them. They can’t try to confiscate the firm’s property or try to petition it into bankruptcy, without the prior approval of the court. This is called the CCAA stay of proceedings.

Considering that a CCAA Canada filing is made because a business is deeply in the red, the initial order of business is to strike some kind of satisfactory arrangement with its creditors. That includes secured creditors, unsecured creditors and shareholders.

Can CCAA Canada protection be extended?

Yes, under CCAA Canada, court-ordered protection can be extended. After Algoma Steel filed under CCAA Canada in April 2001, the firm had gotten eight extensions prior to emerging with a new ownership framework.

Who gets priority under a CCAA Canada filing?

Not all creditors are treated equally. There is a priority generally established for the ranking of creditors and the order in which they might be paid by a debtor.

First in a CCAA Canada restructuring, will be any government claims that rank as a priority deemed trust claim. Next will be any new charges ordered by the court as part of the restructuring. Examples of such court-ordered security charges are Key Employee Retention Plans, financing the company needs in order to survive during the restructuring period and the costs of the professionals involved in the restructuring for the company.

Secured creditors, including lenders and bondholders, usually head the list next when it concerns getting back their money. Secured creditors might hold security such as a general security agreement and/or a mortgage as security for their debt held.

Unsecured creditors follow next on the list of creditors. Unsecured creditors have supplied goods or services on credit to the company without being given any security. In the many retailer filings that have been in the news recently, even customers who have paid deposits for items not yet picked up or who have gift cards are also unsecured creditors. Last on the list are the shareholders.

What happens if the court doesn’t approve a CCAA Canada application or the sides can’t agree on how to restructure debt?

If a restructuring effort is not successful, or if the court does not approve it, a company can be placed right into receivership or bankruptcy. The main difference between a CCAA Canada filing and the options of receivership or bankruptcy, suggests that the company can no longer be a going concern and will be liquidated.

The choice between receivership or bankruptcy depends on the nature and extent of the creditors. If there is a major secured creditor who is owed more than the assets are worth, on a failed restructuring, the court will allow that secured creditor to appoint a receiver (or the court will appoint the receiver). The receiver will then liquidate the company’s assets and repay the secured creditor as much as possible. If there are no secured creditors (which is highly unusual), or there will be money left over from the liquidation after full repayment of the secured creditors, then there will be bankruptcy. The licensed insolvency trustee acting as the bankruptcy trustee will make a distribution to the unsecured creditors.

Sometimes the type of company or industry will require both receivership and bankruptcy. Retail liquidations are a good example. The reasons are outside the main topic of discussion for this CCAA Canada Brandon’s Blog, but, one day, I will do one on that topic.

What happens to shareholders in a CCAA Canada restructuring?

Holders of common stock generally come last. On a regular basis in a CCAA Canada restructuring, they tend to get wiped out. Their old shares come to be worthless. Usually, brand-new shares are issued in the restructured company.

Holders of preferred shares rank ahead of common shareholders (for this reason the title “preferred”) yet more often than not do not get back the full value of their shares.

Public company shares in a company if it enters CCAA Canada protection and all trading is halted

When a public company announces that it has filed under CCAA Canada, a trading halt is applied. The listing exchange notifies the marketplace that trading is not taking place. While the stop is in effect, brokers are forbidden from publishing quotations or signs of interest in trading. The listing exchange will end the trading stop by taking the actions called for by its rules. Generally, the marketplace is alerted that a trading halt is about to end either at the same time the halt finishes or a few minutes before.

When a company gets on the edge of bankruptcy, its stock value mirrors the danger of a CCAA Canada administration becoming liquidation. Purely as an example, a business that used to trade at $50 might trade at $2 per share as a result of the bankruptcy environment. After entering into a CCAA Canada filing, the company’s stock price might be up to $2.10. This value is composed of the potential amount that shareholders might get after liquidation and also the possibility that the firm might restructure and run effectively in the future. Investors can buy and sell these $2.10 shares in the market. The actual value does not reach zero unless the likelihood of restructuring is so low that liquidation becomes a certainty.

While the company is in a CCAA Canada restructuring, its stock will certainly still have some value, though it will likely plummet. The regulatory authorities will watch it very closely and shut down trading if any anomalies are encountered where investors could get hurt. This was recently seen in the United States in the Hertz Chapter 11 bankruptcy protection administration.

Nonetheless, if the business restructures and emerges from CCAA Canada reorganization as a solvent going-concern, its share price might start to rise again. How much will depend on the unique restructuring issues. If a business rises from its restructuring stronger than ever, investors can take advantage of the turnaround, as old stock may get cancelled during the insolvency process, and new shares issued.

List of CCAA filings under CCAA Canada during the COVID-19 pandemic so far?

There have been many media reports about companies filing under CCAA Canada during this coronavirus pandemic. I thought it would be useful to look at which companies have filed and what industries seem to be most affected between the calling for the state of emergency and the last date for which these statistics have been published, July 31, 2020. All of this information comes from statistics published by the Office of the Superintendent of Bankruptcy Canada.

The number of companies and the industries that these companies engage in is allocated as follows:

Cannabis	6
Charity	1
Construction	4
Energy	4
Entertainment	1
Hospitality	1
Manufacturing	1
Media	1
Mining	2
Pulp and Paper	1
Real Estate	2
Retail	8
Technology	1
Travel	1

	34

The following chart shows the filings by the province in this same time frame:

ccaa canada graph

CCAA Canada summary

I hope you enjoyed this CCAA Canada Brandon’s Blog. The Ira Smith Team family hopes you and your family are staying safe, healthy and well-balanced. Our hearts go out to every person who has been affected either through inconvenience or personal family tragedy.

Ira Smith Trustee & Receiver Inc. has always employed clean and safe habits in our professional practice and continues to do so.

If anyone needs our assistance, feel confident that Ira or Brandon can still assist you. Telephone consultations and/or virtual conferences are readily available for anyone feeling the need to discuss their personal or company situation.

Are you now worried just how you or your business are going to survive? Those concerns are obviously on your mind. This pandemic situation has made everyone scared.

We look at your whole circumstance and design a strategy that is as distinct as you are. We take the load off of your shoulders as part of the debt settlement strategy we will draft just for you.

We understand that people facing money problems require a lifeline. That is why we can establish a restructuring procedure for you and end the discomfort you feel.

The Ira Smith Team is totally operational and both Ira and Brandon Smith are here for a telephone consultation, conference calls and virtual meetings.

Keep healthy and safe everybody.

Brandon Blog Post

EASY COMMERCIAL RENT RELIEF CANADA: THE SECRET TO CREATING A CORPORATE RESTRUCTURING

Post author By Brandon Smith
Post date August 5, 2020

The Ira Smith Team is totally operational and both Ira and Brandon Smith are here for a telephone consultation, conference calls and virtual meetings.

Keep healthy and safe everybody.

Commercial rent relief Canada introduction

Commercial rent relief Canada is one of the biggest needs of Canadian businesses. This is a result of the COVID-19 induced economic shutdown. I have written before on this problem and about the Canadian government Canada Emergency Commercial Rent Assistance (CECRA) Program.

This program is part of Canada’s COVID-19 Economic Response Plan. The CECRA has been updated from its original version which I also wrote about. You can view the updated discussion in my blog – COMMERCIAL TENANCIES ACT ONTARIO: NEW FIX FOR YOUR UNRULY LANDLORD’S COVID-19 COMMERCIAL LEASE TERMINATION.

The purpose of this Brandon’s Blog is to discuss how “unused” leased premises have been treated differently so far under both US and Canadian corporate restructuring. I will also fill you in on the secret to get commercial rent relief Canada for Canadian bankruptcy protection and financial restructuring. Unfortunately, as you will see, it isn’t much of a secret!

Commercial rent relief Canada – The US version

The US bankruptcy courts have been generous and pragmatic in cutting companies who filed under Chapter 11 some slack in relation to leased premises that were unused due to the economic shutdown. There were two cases in particular that I previously wrote about.

Modell’s Sporting Goods, Inc. et al Chapter 11 bankruptcy proceedings

On March 12, 2020, the U.S. Bankruptcy Court District of New Jersey issued the Order authorizing the Chapter 11 bankruptcy application of Modell’s Sporting Goods, Inc. et al (Modell’s) submitted on March 11. Modell’s is America’s earliest, family-owned ran store of sporting items, sports footwear, clothing and equipment. It was founded in 1889.

On March 27, 2020, the court granted Modell’s court application making an order attending to both a bankruptcy suspension and an operational suspension. The bankruptcy suspension maintained the bankruptcy protection proceedings until April 30, 2020 (the Suspension Period). The operational suspension enables Modell’s to shut down all shops and also not operate. The judge additionally gave Modell’s the right to apply on brief notice to the court to extend the Suspension Period. The order went on to state the stay of proceedings holds throughout the suspension.

As part of their application, Modell’s submitted a modified budget to show what sources of cash it would have and also what expenditures it would pay during the Suspension Period. It likewise showed what expenditures were being incurred, but not paid. Commercial rent on every one of its shops was among the expenditures being accumulated but left unpaid.

Modell did not put any of the commercial lease payments in its amended spending plan. They needed to shut down every one of their stores as a result of the coronavirus pandemic. Shops shut suggests no sales. They were not going to pay rent at the same time the stores were not generating cash.

The court order accepted the modified budget plan. It also verified that the only payments that Modell’s would make were those indicated as most important. The business considered payments to every one of its landlords as non-essential. The court order did indicate that the accumulated and overdue commercial rent payments were not and also were not deemed to be waived or not payable.

Pier 1 Imports took a page from the Modell playbook

In February 2020, Pier 1 Imports, Inc. (Pier 1) declared Chapter 11 bankruptcy protection as part of trying to find a purchaser of its operations. It then closed all of its shops in Canada and most in the United States.

On Tuesday, March 31, 2020, following the Modell’s precedent, Pier 1 applied to the court to stop paying commercial rent on its US retail locations on a temporary basis. Pier 1 had to shutter all of its shops as a result of the COVID-19.

Following the Modell’s model, the court provided its approval. It is interesting to note that no commercial rent relief Canada was sought from the Canadian court.

commercial rent relief canada

Could this commercial rent relief Canada occur under Canadian bankruptcy protection?

So the concern is, could a business get this new Modell’s/ Pier 1 precedent to take place in a Canadian bankruptcy protection restructuring? Put another way, could Canadian companies being formally restructured get commercial rent relief Canada?

Under the CECRA program, landlords and tenants need to cooperate and agree with each other to apply for that commercial rent relief Canada. However, what if the landlord plays hardball? Can a Canadian firm declare bankruptcy protection in Canada and be successful in having the court order commercial rent relief Canada?

The two corporate restructuring statutes in Canada are the Part III Division I section of the Bankruptcy and Insolvency Act (Canada) (BIA) and the Companies’ Creditors Arrangement Act (CCAA).

There are no express arrangements in either statute to conjure up commercial rent relief Canada. Actually, the reverse is true. In either a restructuring or liquidation, the case law says that if a leased premise is being used then rent must be paid to the landlord. Fairness is part of the Canadian bankruptcy landscape. There are years of cases on this problem and they all wind up the very same. You don’t even have to be open for business. If you are tying up the location and preventing the landlord from the right of reentry, the rent needs to be paid.

However, there are two comparable sections in each of the BIA and CCAA. Section 183( 1) of the BIA says:

“183 (1) The following courts are invested with such jurisdiction at law and in equity, as will enable them to exercise original, auxiliary and ancillary jurisdiction in bankruptcy and in other proceedings authorized by this Act…”.

The wording has been interpreted by the courts to imply that the bankruptcy court in each province has the sole responsibility to supervise and approve all acts needed to be done for the correct administration of the Canadian insolvency system. This holds whether it is bankruptcy protection restructuring or straight-out bankruptcy liquidation.

The CCAA offers more adaptability in an insolvency business restructuring than the BIA does. Generally, the court will reach its decisions in a CCAA restructuring on the basis of fairness and also reasonableness. The court is required to be worried that what is being recommended is not prohibited and there are cogent reasons regarding why what is being proposed serves to benefit all or most of the creditors affected by the restructuring.

Until recently, a Canadian court has not published a decision in response to an application for commercial rent relief Canada due to the coronavirus pandemic shutdown in a BIA or CCAA restructuring.

We now have a commercial rent relief Canada answer from British Columbia

The case is Quest University Canada (Re), 2020 BCSC 921. Quest University Canada (Quest) filed for CCAA bankruptcy protection in January 2020. It had several motions between January and May to extend the restructuring proceedings.

Also in May, Quest premised its request for a boost in its restructuring interim loan facility, somewhat, on it deferring lease payments on four of its university residences from June-August 2020. Southern Star Developments Ltd. (Southern Star) is the owner of the residences and also Quest’s landlord. Southern Star and its mortgagee Bank of Montreal (BMO), objected to any lease deferment. The court had to figure out whether it is appropriate to allow Quest to delay rent payments to its landlord, Southern Star.

Quest mandated that as part of the educational experience, all students going to Quest were required to reside on campus in the residences. A significant percentage of Quest’s students (some 75%) were international students. In addition, some faculty members resided in the residences.

Effects developing from the COVID-19 pandemic, as experienced in BC, across Canada and all over the world, are well known. On March 12, 2020, Quest’s board of governors declared the closure of Quest to the general public. Students had to leave the campus and finish the springtime and summertime semesters online. All occupants vacated the residences. Only a small number of personnel stayed behind for security purposes.

Then the BC government issued a Ministerial Order whereby it declared a state of emergency. The federal government prohibited the entry of foreign nationals into Canada, initially except the United States under the Quarantine Act. The Canadian government then extended the ban to most travellers from the USA also.

The timing of the pandemic as well as its extreme repercussions couldn’t be worse for Quest in regards to its restructuring efforts.

Quest’s commercial rent relief Canada application like Modell’s and Pier 1

Without referencing the US bankruptcy protection court orders I discussed above, Quest made a similar application to the court. Quest was looking for commercial rent relief Canada just like was given to the US companies in the Chapter 11 cases.

On May 18, 2020, Quest advised Southern Star that it would not be making rent payments for the residences starting in June 2020. Quest said it needed to conserve cash due to the fact that the residences could not be used (the same argument as the Modell’s and Pier 1 cases). Quest mentioned the continuous restructuring process, the closure of on-campus learning and the unpredictability of what academic instruction it would be able to offer in fall 2020 as reasons for the deferral.

The court had so far accepted and approved interim financing to permit the restructuring to continue. Quest told Southern Star that it wished to discuss a rent deferral arrangement over the following numerous months. Quest hoped that Southern Star would be accommodating given their history of working together and the COVID-19 pandemic.

Unfortunately, Southern Star right away showed its unwillingness to do so. Southern Star stated that, without receipt of lease payments from Quest, Southern Star will certainly not have the ability to make its mortgage loan payments to BMO. For apparent reasons, that is not an enviable situation for Southern Star, nor obviously, BMO, to be in.

In late May 2020, Quest sought and obtained an increase in the approved interim financing by $3 million. The cash-flow forecast that supported that application, included the Monitor‘s Second Report, did not reference any kind of rent payments by Quest to Southern Star until October 2020. Accordingly, the accepted interim funding is not adequate to fund Quest’s lease payments over the summer season.

Quest contended that it is critical to preserve the use of the residences and its relationship with Southern Star. Quest says that its ability to restructure and continue as a university depends on it. They also content that Southern Star and BMO will not suffer any prejudice if the rent deferral is allowed. Quest believed that it would be able to make up the deferred payments sometime in the future.

Southern Star and BMO opposed the court granting that relief. They contend that they will be prejudiced if Quest does not have to make the rent payments.

The court’s decision in Quest’s commercial rent relief Canada application

The court’s analysis was very detailed. The BC court reviewed precedent decisions from various provinces, including Ontario. For Quest, an important question that it wanted the court to answer was were the residences being used?

Quest suggested that it left the residences because of safety issues and provincial health and wellness orders relating to the COVID-19 pandemic. It stated that it is only allowed to make use of the residences for student housing. The court did not equate this absence of physical use of the leased facilities by students with a total absence of “use”.

The court concluded that Quest is “using” the residences within the CCAA restructuring because:

Quest is allowing some staff members to live there.
It is insisting, as against Southern Star as landlord of the residences, according to its right to quiet enjoyment of the residences. Simply put, Quest is exercising its right to “use” the residences, as usual, notwithstanding they are mostly vacant.
Certainly, since June 2020, Quest was able to populate the residences with students or other persons safely. This would be consistent with what they have done every past summer season.
The court did not see the use over the summertime as being irregular with the specified and allowed use of the residences.
As of June and proceeding right into July and August 2020, the principal reason the residences are vacant is no different than from previous summers. In previous summers, Quest had to pay rent to Southern Star because it was still “making use of” the residences.
Quest has actually not chosen to disclaim the (Sub)leases. On the contrary, Quest’s evidence is that the residences are essential and it must maintain them to advance the possible restructuring options available to them. The existence of the residences, and Quest’s legal rights to their use, remain a crucial marketing factor in relation to possible financial partners.

Fairness is a typical touchstone in CCAA and all insolvency proceedings. In the court’s view, substantial indicia of unfairness arise by permitting the rental fee deferment. The court stated that it had the option to allow Quest to choose to pay the rent. The court stated however that it did not have the right to prevent Southern Star from requiring payment and taking action in the face of any kind of default.

The court found that it was not appropriate to grant the rent deferment sought and dismissed Quest’s application. In doing so, the court followed the long line of cases in both CCAA and BIA restructuring cases as well as bankruptcy liquidation cases. By not granting the commercial rent relief Canada requested, it differentiated the Canadian insolvency system from the US system as seen in the Modell’s and Pier 1 cases.

A word of caution:

There is no discussion in the decision that Quest attempted to claim or rely upon a force majeure argument.
Notwithstanding how detailed the court’s analysis is, this BC court decision is not binding on courts in other provinces.

So as I said at the beginning, the secret to getting commercial rent relief Canada in a formal restructuring simply based on this court decision is either reach a deal with the landlord on your own or just hand the premises back to the landlord. Those are the only ways!

Commercial rent relief Canada summary

I hope you enjoyed this commercial rent relief Canada Brandon’s Blog. The Ira Smith Team family hopes you and your family are staying safe, healthy and well-balanced. Our hearts go out to every person who has been affected either through inconvenience or personal family tragedy.

Ira Smith Trustee & Receiver Inc. has always employed clean and safe habits in our professional practice and continues to do so.

Are you now worried just how you or your business are going to survive? Those concerns are obviously on your mind. This pandemic situation has made everyone scared.

We look at your whole circumstance and design a strategy that is as distinct as you are. We take the load off of your shoulders as part of the debt settlement strategy we will draft just for you.

We understand that people facing money problems require a lifeline. That is why we can establish a restructuring procedure for you and end the discomfort you feel.

The Ira Smith Team is totally operational and both Ira and Brandon Smith are here for a telephone consultation, conference calls and virtual meetings.

Keep healthy and safe everybody.

Tags bankruptcy court, bankruptcy liquidation, bankruptcy protection, BIA, canada emergency commercial rent assistance, CCAA, CECRA, chapter 11 bankruptcy protection, commercial rent relief, commercial rent relief canada, coronavirus, corporate restructuring, covid-19, COVID-19 Economic Response Plan, financial restructuring, force majeure, Ira Smith Trustee, Modell’s Sporting Goods, Pier 1 Imports

Brandon Blog Post

TO DEBT DO US PART BUT I CAN’T PART WITH MY LIFE-CHANGING COVID-19 ECONOMIC RESPONSE PLAN

Post author By Brandon Smith
Post date July 29, 2020

The Ira Smith Trustee Team is absolutely operational and Ira, in addition to Brandon Smith, is readily available for a telephone consultation or video meeting.

To debt do us part introduction

To debt do us part many times is confused with Til Debt Do Us Part. That of course was the Canadian television series created by Frantic Films for Slice in Canada, Zone Reality in the UK as well as CNBC in the United States. It was hosted by Gail Vaz-Oxlade, who weekly advised a couple that is in debt and also having troubles in their marriage or relationship.

Over the last couple of days, I read two crazy articles involving what people have done with federal coronavirus relief money. One from the United States and the other from Canada:

The title catchphrase to debt do us part seems particularly apt to me in the context of the Canadian federal government COVID-19 Economic Response Plan to assist Canadians and their companies. Especially if people are going to do crazy things with money they desperately need to live on.

With that as the backdrop, I thought it would be a good time in this Brandon’s Blog to review where we are at this stage of the pandemic and why no matter how much good information about money management there may be available to people, some will insist on to debt do us part.

This 2020 to debt do us part is something brand new

The economic pain and worry Canadians and businesses are experiencing this time around is something brand-new. It is hitting people and companies that have always made their repayments on time. To debt do us part was never part of their vocabulary or lifestyle. They’ve never needed to get a deferral. It is very unpleasant and unsettling. To debt do us part is a very real worry for every Canadian today.

Now that the majority of us have remained in quarantine, we’ve had a lot of time to look at our money behaviours. Have they transformed since we’ve been able to take a look at our cash? Are we most likely to be taking a look at it differently now moving forward? I say yes. I don’t assume any person is going to exit this COVID-19 pandemic unscathed financially.

I have been blogging for years about the need for every Canadian to have in their monthly budget a line item for putting savings into an emergency fund in case of an unforeseen crunch. Before the lockdown, many Canadians were in trouble already. In the 3rd quarter of 2019, we saw household debt to income numbers at around 176%. So that statistic means that for every single dollar we brought in, we owed $1.76. Typically, for an emergency reserve, you should have 3 to 6 months of liquid funds readily available to you. Most Canadians did not.

An emergency fund doesn’t have to be in a very low interest-bearing savings account that you can go to an ATM for. Certainly, it also didn’t need to be cash stuffed in your mattress in the house. It could have been in the form of financial investments that could be liquidated fairly quickly without suffering a loss, should an emergency arise and you needed to get your hands on some money quickly.

By an emergency situation I mean something like a major medical expense, being laid off of work or something like this coronavirus pandemic causing you a loss of earnings such as now being experienced by lots of people as our economy shut down.

The government had no choice for to debt do us part

As a result of so many people being so scared and facing to debt do us part in the face, the federal government had no choice but to come up with a support package for Canadians and Canadian companies. The combination of support programs is wrapped up in the omnibus title of the COVID-19 economic response plan. I have written before on many of the support programs. The federal assistance programs for Canadian business include:

Canada Emergency Wage Subsidy (CEWS)
Temporary 10% Wage Subsidy
More time to pay income taxes
Canada Emergency Business Account interest-free loans
Loan Guarantee for Small and Medium-Sized Enterprises
Canada Emergency Response Benefit (CERB) for the self-employed business people and Canadian workers.
Canada Emergency Commercial Rent Assistance (CECRA)
Canada Emergency Wage Subsidy (CEWS)
More time to pay when 2019 income taxes are due
More time to pay HST
Mortgage approval and deferral rules

When government support ends to debt do us part

The Canadian federal government had no choice but to provide an aid bundle for Canadians. This point highlights the truth that maybe most Canadians were not prepared with an emergency fund. To debt do us part was part of their everyday life. Unlike the two people in the articles I mentioned in the introduction to this Brandon’s Blog, I think this has been a big wake up call for a lot of people about their to debt do us part.

This is not the moment to be talking to your lender for new credit when you have too much debt. However, it is a perfect time to start thinking about your monthly after-tax income and your monthly spending. You want to get that under control so that you are not spending more than you earn and that your monthly budget has a line for your emergency fund savings. You need to first get on the solid monetary ground while the government’s support programs are still in force.

But what happens to debt do us part when the support programs and the various deferral programs offered by the banks end? In several previous blogs, I hypothesized that the Canadian government cannot end the programs on the original end dates of September 1, 2020. My feeling was that Canadian people and companies would not be ready to go from support to no support so drastically and would have to extend the programs potentially until the end of the 2020 calendar year. Some of these blogs were:

Since then, the federal government has announced several extensions to certain programs:

Canada Revenue Agency (CRA) is expanding the payment due day for existing year personal, company, and trust tax returns, including instalment payments, from September 1, 2020, to September 30, 2020.
The federal government will give eight added weeks of benefits for people whose jobs or income have actually disappeared as a result of the COVID-19 pandemic, however, only if they look for a job and take one when it’s reasonable to do so.
A CEWS extension that will prolong the program up until November 21, 2020, with the intent to supply additional support up until December 19, 2020.

So with these extensions providing extra support, now is the time for everyone to try to get their financial house in order.

**How do people avoid to debt do us part in the first place?**

I was asked recently in a Facebook business group I belong to:

How do people better put themselves in better financial health in the first place?

My answer was:

That is a great question. It all has to start with understanding clearly your monthly after-tax income, monthly expenses and having a budget that you follow. Each month the budget must include putting something away to an emergency fund and making sure that your income tax is being paid regularly. So that what you are spending is truly after-tax money. All of that can be summed up as living within your means. That goes for your business too.

So while there are still government support programs, now is the time to take a hard critical look at your financial situation and make concrete plans to try to avoid the realities of to debt do us part.

People were already teetering on solid ground. It’s most likely to underscore the value of actually meeting with an expert if you do not know how you get out of this debt on your own. Sitting down with someone like a qualified financial advisor, a community-based credit counsellor or a licensed insolvency trustee is what you need to do.

If the debt is howling at you, you need to really have a strategy to get out of it. When you intend to drop weight, you seek a weight reduction program to educate you. You may additionally choose a personal trainer to help you with an exercise program. So, why not locate somebody to assist you and educate you to shed your debt as well as keep it in control?

You do not need to do that all on your own. It’s going to take some imagination, maybe some cost-cutting, maybe some increased revenue or a combination of all of these. We’re not out of this yet, and eventually, the deferrals and support programs will end. Take action now so that you can have a clear path going forward. Nobody says it will be easy, but to debt do us part does not have to be part of your life forever.

Payday loans and credit card advances are not the answer to debt do us part

Something individuals in the red can refrain from doing is trying to go deeper into debt by raising money on a brand-new debt to repay an old one. When you already have too much debt, the only likely source for this kind of cash that I see is either cash advance on an existing charge card or a payday loan. Regardless, you will be paying a lot more interest than on the original financial obligation you are attempting to refinance.

Payday loans are extremely easy to get. You can go shopping online. You can have cash in your account within a couple of hours. The issue is, depending on the province that you’re in, these are astronomical interest rates as high as 600 percent. It might fix that short-term issue, but what you’re mosting likely to have to handle in the future normally winds up being more payday advances rolling right into a really negative situation. Very same with the cash advance from your credit card. Not as bad as payday loans, however still 20% to 29% rate of interest doing that.

The courts are shut now. Financial institutions are not chasing anybody. People are still obtaining those deferrals. You are not having to pay tax obligations. You can defer paying your tax obligations until the end of September.

So as quickly as we get back to a “new normal”, creditors will certainly begin to call. You will certainly have to pay your mortgage, your taxes and your various other costs. Will that be something people will have the ability to afford? While we still have this “break”, it is actually the very best time to look at your overall picture, your revenue and also expenditures, your month-to-month spending plan. It is additionally the best time to get the expert help you need if you can not do it on your own. This is the ideal time to map out a strong strategy.

To debt do us part summary

I hope you have found this to debt do us part Brandon’s Blog interesting and helpful. The Ira Smith Team family hopes that you and your family members are remaining secure, healthy and well-balanced. Our hearts go out to every person that has been affected either via misfortune or inconvenience.

Ira Smith Trustee & Receiver Inc. has constantly used clean, safe and secure ways in our professional firm and we continue to do so.

Income, revenue and cash flow shortages are critical issues facing entrepreneurs, their companies and individual Canadians. This is especially true these days.

The Ira Smith Trustee Team is absolutely operational and Ira, in addition to Brandon Smith, is readily available for a telephone consultation or video meeting.

Tags 2019 income taxes are due, canada emergency business account, canada emergency wage subsidy, canada emergency wage subsidy cews, ceba, cerb, cews, cews extension, COVID-19 Economic Response Plan, covid-19 pandemic, emergency fund, federal coronavirus relief loans, household debt, household debt to income, mergency reserve, Temporary 10% Wage Subsidy, til debt do us part, to debt do us part

Mortgage deferral Canada introduction

How did mortgage deferral Canada work for the borrower?

How did mortgage deferral Canada work for the lenders?

Mortgage deferral Canada is ending – what can you do if you believe it will cause financial problems for you

Mortgage deferral Canada summary

Insolvency Canada introduction

Insolvency Canada CEWS refresher

Insolvency Canada: The current CEWS statistics

Insolvency Canada: When is an employer eligible for the CEWS

Insolvency Canada: How does an eligible employer qualify for the wage subsidy?

Insolvency Canada: It is not illegal for an insolvent company to apply for the CEWS

Insolvency Canada: How would the CEWS be treated under a formal restructuring

Insolvency Canada: What kind of liability is a CEWS overpayment

Insolvency Canada summary

When are 2019 taxes due Canada introduction

Is the Tax Deadline Delayed for 2019 Tax Returns?

Why file by the June 1 deadline if no payment is due until September 30?

When are 2019 taxes due Canada: Are there new deadlines for GST/HST returns and payments as well?

When are 2019 taxes due Canada: What is the payment date?

When are 2019 taxes due Canada: What if I owe CRA and cannot pay it?

When are 2019 taxes due Canada: A consumer proposal

When are 2019 taxes due Canada: Personal bankruptcy in Canada

When are 2019 taxes due Canada: Summary

Is Canada in a recession? What is a recession?

What did some economists forecast about is Canada in a recession

How bad will Canada’s COVID-19 recession be?

How long will this is Canada in a recession last?

Is Canada in a recession? Are there any predictors of a recession recovery?

What can you do when is Canada in a recession

Is Canada in a recession summary

Canada Revenue Agency login introduction

The Canada Revenue Agency login hack debacle

How do I know if I was impacted by the Canada Revenue Agency login data breach?

What do I do if the Canada Revenue Agency login hacking impacted me?

Annette Butikofer sure has chutzpah over the Canada Revenue Agency login data breach

Even though there has been a Canada Revenue Agency login data breach, can I still apply for benefit programs?

The RCMP is now investigating the Canada Revenue Agency login breach

Canada Revenue Agency login breach summary

What is financial literacy in Canada

Why is financial literacy in Canada important?

Financial literacy in Canada and money management go hand in hand

How is financial literacy in Canada assessed?

How is financial literacy in Canada taught in Ontario schools?

What resources are available to teachers for classroom use to teach financial literacy in Canada?

What resources are available for teachers to help parents support their children’s financial literacy in Canada?

Financial literacy in Canada: Canadians share what they wish they learned about money

Ontario Securities Commission Investor Education Fund (IEF) supports financial literacy in Canada

Financial literacy in Canada summary

What happens if you die without a will in Ontario introduction

What happens if you die without a will in Ontario?

Dying intestate…who does that?

How is an estate is distributed If you die without a will in Ontario?

What is a wife entitled to if her husband dies without a will?

Who will be in charge of my Estate?

Duties of the Estate Trustee

What happens to your property if you die without a will in Ontario?

Who will get my Estate?

What do children get when a parent dies without a will?

Who will take care of your dependent children?

What About Other Relatives?

What happens to debt if you die?

What happens if you die without a will in Ontario summary

CCAA Canada introduction

When a company tries to reorganize under CCAA Canada – What does CCAA mean?

What does CCAA Canada protection mean? CCAA vs Chapter 11

Can CCAA Canada protection be extended?

Who gets priority under a CCAA Canada filing?

What happens if the court doesn’t approve a CCAA Canada application or the sides can’t agree on how to restructure debt?

What happens to shareholders in a CCAA Canada restructuring?

Public company shares in a company if it enters CCAA Canada protection and all trading is halted

List of CCAA filings under CCAA Canada during the COVID-19 pandemic so far?

CCAA Canada summary

Commercial rent relief Canada introduction

Commercial rent relief Canada – The US version

Modell’s Sporting Goods, Inc. et al Chapter 11 bankruptcy proceedings

Pier 1 Imports took a page from the Modell playbook

Could this commercial rent relief Canada occur under Canadian bankruptcy protection?

We now have a commercial rent relief Canada answer from British Columbia

Quest’s commercial rent relief Canada application like Modell’s and Pier 1

The court’s decision in Quest’s commercial rent relief Canada application

**How did mortgage deferral Canada work for the borrower?**

**How did mortgage deferral Canada work for the lenders?**

***When are 2019 taxes due Canada: Personal bankruptcy in Canada***

***When are 2019 taxes due Canada: Summary***

**How long will this is Canada in a recession last?**

**The Canada Revenue Agency login hack debacle**

**How do I know if I was impacted by the Canada Revenue Agency login data breach?**

**What do I do if the Canada Revenue Agency login hacking impacted me?**

**Annette Butikofer sure has chutzpah over the Canada Revenue Agency login data breach**

**Even though there has been a Canada Revenue Agency login data breach, can I still apply for benefit programs?**

**The RCMP is now investigating the Canada Revenue Agency login breach**

**What is financial literacy in Canada**

**Why is financial literacy in Canada important?**

**How is financial literacy in Canada assessed?**

**How is financial literacy in Canada taught in Ontario schools?**

**What resources are available to teachers for classroom use to teach financial literacy in Canada?**

**What resources are available for teachers to help parents support their children’s financial literacy in Canada?**

**Ontario Securities Commission Investor Education Fund (IEF) supports financial literacy in Canada**

**How do people avoid to debt do us part in the first place?**