Are there any exceptions to the rule that canceled debt is counted as income?
- December 10th, 2020
- David Greene
- Comments Off on Are there any exceptions to the rule that canceled debt is counted as income?
When a taxpayer is unable to pay all of a debt and the creditor cancels the unpaid part, the amount of the canceled debt is generally treated as income to the taxpayer under federal tax law. The creditor reports this…
What does a Form 1099-C mean?
- January 29th, 2020
- David Greene
- Comments Off on What does a Form 1099-C mean?
When a taxpayer is unable to pay all of a debt and the creditor cancels the unpaid part, the amount of the canceled debt is generally treated as income to the taxpayer under federal tax law. Unfortunately, this is what…