Bankruptcy Exemptions

What do I lose in a Bankruptcy?

 

Bankruptcy exemptions in Canada are set by provincial legislation.

How much of each asset you can keep in a bankruptcy depends on the province or territory you live but generally the types of assets that are exempt from seizure are similar across Canada.

Generally, the types of assets that you can keep in a bankruptcy include:

  • personal items and clothing
  • household furniture, food and equipment in your permanent home
  • tools necessary to your work
  • a motor vehicle with a value up to a certain limit, usually an older vehicle qualifies
  • certain farm property

Changes to the BIA ( Bankruptcy and Insolvency Act)  have also been made such that you now keep your RRSPs, RESPs and other pension property except for contributions made within 12 months.

Bankruptcy Exemptions by Province:

 

Bankruptcy Exemptions

Alberta

Alberta – Property Exemptions

  • Food for a 12 month period.
  • Clothing up to $4,000
  • Household furniture and appliances up to $4,000
  • One motor vehicle up to $5,000
  • Equity in your principal residence up to $40,000, reduced to your share if you are a co-owner
  • Tools of your trade up to $10,000
  • Farm land where your principal source of income is farming, up to 160 acres
  • Farm property requirements for 12 months operations
  • Health aids

To inquire further about bankruptcy exemptions and what you can keep in a bankruptcy in Alberta, please consult with a local Alberta Trustee. 

 

BC Exemptions

British Columbia

British Columbia – Property Exemptions

  • Household goods up to $4,000
  • Clothing for yourself & dependants (no dollar amount)
  • One motor vehicle up to $5,000
  • Tools of your trade up to $10,000
  • Principal residence (equity) up to $9,000 (or $12,000 in Greater Vancouver or Victoria)
  • Medical aids

To inquire further about bankruptcy exemptions and what you can keep in a bankruptcy in British Columbia, please consult with a local BC Trustee.

 

bankruptcy exemptions

Manitoba

Manitoba – Property Exemptions

  • Food and fuel for six month supply or cash equivalent
  • personal clothing
  • Household furniture and appliances up to $4,500
  • One motor vehicle up to $3,000 where used in employment (no limit for farmers)
  • Health & medical aids
  • Tools of your trade up to $7,500
  • Farm property: buildings and requirements for 12 months operations
  • Principal residence up to $2,500 ,  or $1,500 if you are a co-owner
  • Farm land where you reside or cultivate,  up to 160 acres
  • Items needed for religious services
  • Locked-in pension plans
  • Certain life insurance policies
  • Municipal or school property

To inquire further about bankruptcy exemptions and what you can keep in a bankruptcy in Manitoba, please consult with a local Manitoba Trustee.

 

bankruptcy exemptions

New Brunswick

New Brunswick – Property Exemptions

  • Food and fuel for the debtor and his/her family
  • Personal clothing
  • Furniture, Household furnishings and appliances up to $5,000 (more in some cases).
  • One motor vehicle used for employment up to $6,500 (more in some cases).
  • Necessary tools, equipment and books of your trade up to $6,500 (tools of Trade)
  • Farm animals to specified limits, their feed for six months, and seeds to specified limits.
  • Necessary seed grain and potatoes required for planting purposes to the following quantities: forty bushels of oats, ten bushels of barley, ten bushels of buckwheat, ten bushels of wheat and thirty-five barrels of potatoes
  • Health and medical aids
  • Pets belonging to debtor
  • Pension plans

To inquire further about bankruptcy exemptions and what you can keep in a bankruptcy in New Brunswick, please consult with a local New Brunswick Trustee.

 

Newfoundland Labrador – Property Exemptions

bankruptcy exemptions

Newfoundland Labrador

  • Food and fuel for a twelve month period
  • Clothing up to $4,000
  • Household furniture and appliances specific types, up to $4,000
  • One motor vehicle up to $2,000
  • Tools of your trade up to $10,000
  • Farm or fishing or aquaculture property up to $10,000
  • Principal residence: up to $10,000
  • Health and medical aids
  • Household Pets of the debtor
  • Personal items of sentimental value up to $500
  • Certain pension plans & income.

To inquire further about bankruptcy exemptions and what you can keep in a bankruptcy in Newfoundland & Labrador, please consult with a local Newfoundland Trustee.

 

Nova Scotia – Property Exemptions

bankruptcy exemptions

Nova Scotia

  • Personal clothing
  • Food & fuel
  • Household goods up to $6,500, more in some cases
  • One motor vehicle up to $3,000, or up to $6,500 if needed for work
  • Health and medical aids
  • Tools of the trade up to $1,000
  • Seeds and livestock for domestic use

To inquire further about bankruptcy exemptions and what you can keep in a bankruptcy in Nova Scotia, please consult with a local Nova Scotia Trustee.

 

Ontario – Property Exemptions

Bankruptcy exemptions

Ontario

  • Household furniture, appliances up to $13,150.
  • Personal clothing of unlimited value
  • One motor vehicle up to $6,600
  • Tools of your trade up to $11,300.
  • In the case of a farmer, livestock, fowl, bees, books, tools and implements and other chattels ordinarily used by the debtor in the debtor’s occupation up to $29,100.
  • Most pension plans, life insurance policies, and certain RRSPs

To inquire further about bankruptcy exemptions and what you can keep in a bankruptcy in Ontario, please consult with a local Ontario Trustee

 

Prince Edward Island – Property Exemptions

Bankruptcy exemptions

PEI

*note – if you are behind on child or spousal payments, not all exemptions apply.*

  • Food, fuel, household furniture, appliances up to $2,000
  • Personal clothing
  • One motor vehicle (needed for occupation) up to $6,500
  • Tools of your trade up to $2,000
  • Health and medical aids
  • Seed for up to 100 acres, other up to $5,000
  • RRSPs with beneficiary a family member: no dollar limit

To inquire further about bankruptcy exemptions and what you can keep in a bankruptcy in PEI, please consult with a local Prince Edward Island Trustee.

Quebec – Property Exemptions

bankruptcy exemptions

Quebec

  • Food, fuel & personal clothing.
  • Certain household furniture and appliances up to $6,000
  • Motor vehicle
  • Disability aids
  • Tools of your trade
  • Farm property
  • Principal residence equity value up to $10,000
  • Support received through court order, donation, or bequest
  • Most property declared exempt by a donor or will
  • A certain portion of your wages and salary, based on the number of your dependants
  • Benefits payable and employer contributions under an employer-sponsored pension plan
  • Family papers and portraits, medals and other decorations, and documents
  • Items used in religious worship
  • Income for services as a minister of religion
  • Food, lodging, and transportation passes received for employment travel

To inquire further about bankruptcy exemptions and what you can keep in a bankruptcy in Quebec, please consult with a local Quebec Trustee.

 

Saskatchewan – Property Exemptions

bankruptcy exemptions

Saskatchewan

  • Food and fuel cash equivalent of supply until the next harvest
  • Personal clothing
  • Household furniture and appliances up to $4,500 (or $10,000 for a farm)
  • One motor vehicle (needed for occupation)
  • Tools of your trade up to $4,500
  • Livestock and equipment for up to 12 months, two bushels seed per acre of land under cultivation, and enough cash or current crop for farming costs to the next harvest
  • Principal residence equity up to $32,000 (your share) and associated land up to 160 acres
  • All retirement savings plans: RRSPs, RRIFs, and DPSPs
  • Certain life insurance policies

To inquire further about bankruptcy exemptions and what you can keep in a bankruptcy in Saskatchewan, please consult with a local Saskatchewan Trustee.

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