Posted on: 03rd Feb, 2011 12:19 pm
I had 2 condos in florida that were investment property. Theyboth sold as short sales last august. I just recieved the 1099c form from the bank on both condos. Does this mean the bank has completely forgiven the debt. (meaning they won't sue me for the deficiency)
Also, what does this mean for my taxes? I am trying to not file for bankruptcy - is there a better choice? Thank you
Also, what does this mean for my taxes? I am trying to not file for bankruptcy - is there a better choice? Thank you
Hi surfer,
You have received the 1099c forms as the bank has forgiven the debt. As the debt has been forgiven, the IRS will consider this as your income and you will be liable for paying taxes on that forgiven debt.
Thanks
You have received the 1099c forms as the bank has forgiven the debt. As the debt has been forgiven, the IRS will consider this as your income and you will be liable for paying taxes on that forgiven debt.
Thanks