The traffic police will write off the debts of the bankrupt for the penalties

18 September 2019

Citizens who have passed the procedure of personal bankruptcy will be written off tax debts and fines of the traffic police

Government Commission on legislative activities has considered the bill according to which citizens who have undergone personal bankruptcy, it is possible to cancel debts on penalties and taxes.
The Chairman of the Board of Association of lawyers of Russia Vladimir Gruzdev said "RG" the document: "Draft amendments to the Budget code expands the list of situations where the tax arrears are recognised as hopeless and, accordingly, are written off. Now such situations will be seen in the bankruptcy of the citizen. Procedure of bankruptcy of physical persons is provided in order to help citizens caught in difficult and desperate financial situation, get rid of the debt loop".
He also stressed that the procedure of bankruptcy of physical persons provides sufficiently strong audit of the financial status of the citizen, the results of which all that can be recovered in repayment of the debts will be recovered, but from the payment of the remaining part of the debt of the person will be released.
Thus, according to the Judicial Department over the past year were declared bankrupt 41.8 thousand citizens. After all the procedures with these bankrupts have been written off ₽153,7 billion of debt. In this case 18.5 thousand bankrupt was closed due to a complete lack of property, that is, creditors could not obtain from them a single penny.
At the same time Vladimir Gruzdev said: "meanwhile, the bankruptcy procedure is not provided in the Budget code among the reasons for which arrears may be deemed uncollectible. A new bill just corrects the situation: in the case of adoption of such a law – citizens who have undergone bankruptcy will be written off the debts on payments in the budget, such as taxes, administrative penalties (i.e., primarily traffic fines – ed.) etc.
Meanwhile, according to current regulations with citizen written off loans and other debts. But if it continues to hang, for example, traffic fines or unpaid taxes, they must pay. Now, however, citizens who have undergone personal bankruptcy, you might forgive and the Treasury.

PS on the one hand the rare humanity of the bill, but on the other hand also there is no doubt that if we had somewhere for the Treasury lose anything, then another will arrive, so you can expect new initiatives by the traffic police to toughen penalties for the paying drivers.