Posted on: 09th Feb, 2013 05:47 am
i just recieved a form 1099-A I had my house discharged in a chapter 7 and then agreed to do a deed in lieu afterward because I did not want to go through a foreclosure and wanted to move on. They checked box 4 as zero. and checked box 5 as yes I am afraid that I will now owe tax money on it and I do not even know where my bankruptcy papers are since I moved.
Hi anreah,
The debt has been forgiven and that will be considered as your income. This will be considered as taxable by the IRS. There are high chances that you will have to pay the taxes. You should get in touch with a tax adviser and take his opinion in this regard.
Thanks
The debt has been forgiven and that will be considered as your income. This will be considered as taxable by the IRS. There are high chances that you will have to pay the taxes. You should get in touch with a tax adviser and take his opinion in this regard.
Thanks
Hi anreah!
Welcome to forums!
Yes, contacting a tax adviser in this regard will be a good option. As the debt was discharged in your bankruptcy filing, there are high chances that you will be liable for paying taxes.
Feel free to ask if you've further queries.
Sussane
Welcome to forums!
Yes, contacting a tax adviser in this regard will be a good option. As the debt was discharged in your bankruptcy filing, there are high chances that you will be liable for paying taxes.
Feel free to ask if you've further queries.
Sussane