Posted on: 10th Jun, 2009 10:36 pm
Hi,
My lender has agreed to write off some amount from my principal amount
as part of loan modification. I will be getting a 1099C from the lender.
I have been staying in the house (primary residence) for more than
2 years. Google search gave me references for form 982.
Is it applicable for me? Do i owe taxes on the forgiven amount?
Thanks,
GV.
My lender has agreed to write off some amount from my principal amount
as part of loan modification. I will be getting a 1099C from the lender.
I have been staying in the house (primary residence) for more than
2 years. Google search gave me references for form 982.
Is it applicable for me? Do i owe taxes on the forgiven amount?
Thanks,
GV.
Hi GV,
As far as I know, with the introduction of the Mortgage Forgiveness Debt Relief Act of 2007, borrowers can get tax relief if there is a deficient amount resulting from the sale of your primary residence. In your situation, you'll be able to take advantage of Mortgage Forgiveness Debt Relief Act depending upon your state laws.
Take Care.
As far as I know, with the introduction of the Mortgage Forgiveness Debt Relief Act of 2007, borrowers can get tax relief if there is a deficient amount resulting from the sale of your primary residence. In your situation, you'll be able to take advantage of Mortgage Forgiveness Debt Relief Act depending upon your state laws.
Take Care.