Monthly Archives: June 2012

You May Have Clients Whose Wages Are Being Garnished and Don’t Even Know It

When people have social issues, they often also have financial problems. The two regularly go hand-in-hand. If you help people who are facing social issues, such as an addiction, mental health problems, or hardships resulting from a divorce, it is important to understand that there may be financial issues that have emerged because of the problem, or financial issues that contributed to their problem.

Often solutions to financial problems directly improve the social issues that people face. Usually those with financial problems suffer in silence because they are too embarrassed to let the people around them know that they are struggling.

Wage garnishments are extremely embarrassing because when one occurs the individual’s employer is notified. Wage garnishments result in crushing hardships to your clients and if you help people who have financial problems it is important to have (delete up) a dialogue on the subject so that they know help is available.

Here is an article that we released at DebtCare this past month that you can share with your client. Titled, “What Is a Wage Garnishment?” it will educate your clients about what they can do if they need help dealing with one. http://www.debtcare.ca/articles/wage-garnishment-we-explain-what-is-a-wage-garnishment/.

As you know, at DebtCare Canada we make it our mission to help people who struggle with debt. Through our WeCare Canada initiative we work with organizations that help people who have social issues deal with their debt and organize their finances. If you would like information about the WeCare Canada initiative, would like to host a WeCare day, or if you simply know someone who could use some help with a financial problem, please contact me today. I can be reached at 416-907-2582 ext 2587, by email at kgoldenberg@debtcare.ca and you can find more information about our business to business services at www.debtcareservices.ca

Helping People Who Have Income Tax Debt

Accountants are often the first to know that their clients are about to have a major financial problem. If you work in the accounting profession then you know that many, many Canadians struggle with income tax debt in Canada.

Once a tax return is filed late or re-assessed resulting in an amount owing, the Canada Revenue Agency will add penalties and interest retroactively on this tax debt which may cause it to double and even triple in size.

When a large income tax debt is owed to the Canada Revenue Agency it can be paralyzing. The Canada Revenue Agency will demand to be paid in full and has incredible authority and resources to collect the income tax debt owed.

Many people feel so overwhelmed when they have a tax debt that they simply ignore it because facing it is too stressful; but this is the worst thing to do because the Canada Revenue Agency will catch up eventually and the consequences will be catastrophic.

If the taxpayer does not have the liquidity to pay off his or her tax debt, then he or she needs to get financial help immediately, beginning with working with a debt consultant to weigh his or her financial options. Income tax debt is like any other debt. There are Federal Government Programs in place to provide Canadians with a legal avenue to deal with their debt. These avenues in many cases do not involve bankruptcy and can stop Canada Revenue Agency collection action.

If you have a client who is struggling with an income tax debt or if you would like to host a WeCare Day to provide education to your clients about how they can deal with tax debt once their returns have been filed, please contact me by emailing kgoldenberg@debtcare.ca, call me at 416-907-2582 ext 2587 or visit www.debtcareservices.ca.