Posted on: 20th Aug, 2010 09:42 pm
Hi Jessica,
I bought my house on 2006 live on there until 2007, me and my ex went thru a divorce, now I got a 1099a from the lender.
Debt was 685,000 and its was sold for 495,000. I live in california. Do you think I can qualify for the forgivenes program.
and How much is the tax on this amount if I have to pay?
thanks
Sorry, for my english!!!
I bought my house on 2006 live on there until 2007, me and my ex went thru a divorce, now I got a 1099a from the lender.
Debt was 685,000 and its was sold for 495,000. I live in california. Do you think I can qualify for the forgivenes program.
and How much is the tax on this amount if I have to pay?
thanks
Sorry, for my english!!!
It will depend upon your lender whether or not he would forgive the balance dues. You can negotiate with the lender and request him for writing off the balance dues. If it is your primary property, then you won't have to pay the taxes on the forgiven amount. It will forgiven as per the Mortgage Debt Relief Act.