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Writeoffs for 200405

first_imgThe government of Nova Scotia is writing off about $2.8 million in consumer and business debts that were unpaid or uncollected as of the end of 2004-05. The largest amount relates to farm loans totalling $1.2 million. Unpaid fines at the Department of Justice total $737,000 and uncollectible taxes and non-sufficient funds cheques at Service Nova Scotia and Municipal Relations total $426,000. The remaining $449,000 is accumulated from miscellaneous items in six other departments. Debts are written off when it is determined that they are unlikely to be paid, in cases of personal or commercial bankruptcy, death of the individual debtor and property foreclosure. Small debts may be written off if it would cost too much to attempt to collect the debt. Though debts may be written off from an accounting point of view, government may continue its efforts to collect — particularly in the case of unpaid fines. Writeoffs are part of the preparation of the province’s annual financial statements. The 2004-05 statements are expected to be complete by Sept. 30.last_img