Tag Archives: 1099-C

The Form 1099 Explained

There are a variety of Form 1099 one may receive when collecting their tax documents. If you’re a worker, you won’t fill out the form yourself, but will receive it from the party who paid you or holds your investment account. Its one of the few tax forms that simply report information and you aren’t […]

Different Types of 1099 Forms

There are many different Form-1099s that you may encounter when tax season rolls around. Some of the most common include: 1099-A: If your mortgage lender cancels some or all your mortgage, or your home was sold in a short sale, you’ll likely receive a 1099-A. Because the IRS considers canceled debt to be equivalent to […]

Cancelled Debt Can Be Considered Income

Sometimes, those you owe money to may consider the debt forgiven, and cancel the remaining balance. In these situations, you’ll likely still have to pay tax on the amount forgiven, as the IRS considers the balance to be a form of income. You’ll be responsible for paying income tax on the cancelled debt. Debt is […]