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Do you have to file a 1099c for credit card debt that was discharged in chapter 7 bankruptcy?
Wiki User
∙ 11y ago
The debtor does not "file" a 1099C. The debtor may receive a 1099C from the creditor which also sends it to the IRS. The discharge of the debt in bankruptcy nullifies the 1099C. There is a form or a part of the 1040 set for disclosing this information to the IRS.
Wiki User
∙ 11y ago
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If you had a credit card debt of 14000 and settled and paid off half of that amount and received a 1099c for the other half of the amount not paid how does this affect your filing of taxes?
The amount shown on the 1099C is considered taxable income under IRS regulations and should be reported as such when filing ones tax return.
Do you owe the difference on a 1099C?
See my answer to post on "collections after 1099c???" Do you mean owe the difference to a creditor? Answer no 1099c is a confirmation that a debt has been canceled by the creditor. No further obligation of repayment by debtor is expected or can be requested. This may be income to you according to the IRS whom also gets a copy of the 1099c.
Can I not report 1099c on Massachusetts state tax?
If a copy of 1099C has not been sent to the state, how would the state know?
Does a 1099C mean the creditor has cancelled the debt?
Yes. A 1099C is confirmation from the creditor or lender that the debt has been cancelled and collection efforts have ended. The bad news is, the amount shown on the 1099C is considered taxable income and must be claimed on your federal tax return.
What should you do if you got a 1099C from a creditor even though you paid them off in full in August and they didn't write anything off?
Call first of course, but send them by certified mail, a copy of your payoff info and request they correct their records and acknowlege doing so by sending an Amended 1099C, (it may actually have a form number like 1099C-AMD). They aren't going to like doing so, because making amended filings for them is always a time consuming and expensive process, but they would have to. If they respond with any reasons they believe the 1099C you received is required, you can deal with that. If they don't respond or send the amended, the documentation you have should become part of your tax records and would appear to be sufficent to show your acting properly in not reporting the income.
How long after your bankruptcy discharge will it take to get a 1099-C from a creditor our discharge was Dec 12 08?
You should not get a 1099C if the deficiency was discharged in a bankruptcy. Otherwise, you should have gotten one by now.
You bought a vehicle in 2002 but in 2008 you settled with the bank for less that what was owed to keep the truck do you have to claim the difference on your taxes with the 1099c?
Yes, unless 1) The "no" box was checked on the 1099-C under "was the borrower personally liable for repayment of the debt?" 2) The debt was discharged as part of a bankruptcy. 3) You were insolvent at the time the debt was discharged. or 4) The indebtedness was qualified farm indebtedness.
Discharge of indebtedness taxabke income?
Generally, Yes...you will receive a 1099C evidencing it. However, if part of a bankruptcy, it may be excludable as taxable income.
Can the creditor Capital One Bank send you a 1099C for 2008 when it was filed under bankruptcy in1997?
Since no one can stop it, obviously CapitalOne can send you a 1099C for 2008. The curious thing is, why would it? The 10 years for carrying it on a credit report is up, and maybe CapitalOne looked at your credit report and found no bankruptcy, so some low-level cretin decided to send you the 1099. Or you went to a debt counseling place and renewed the debt. If you have done nothing to reinstate the debt, and it was included in the 1997 filing, send them a certified return-receipt letter asking them to withdraw the 1099 or face further legal action. Or have a lawyer do it.
Do you owe the difference on a 1099C?
See my answer to post on "collections after 1099c???" Do you mean owe the difference to a creditor? Answer no 1099c is a confirmation that a debt has been canceled by the creditor. No further obligation of repayment by debtor is expected or can be requested. This may be income to you according to the IRS whom also gets a copy of the 1099c.
If you had a credit card debt of 14000 and settled and paid off half of that amount and received a 1099c for the other half of the amount not paid how does this affect your filing of taxes?
The amount shown on the 1099C is considered taxable income under IRS regulations and should be reported as such when filing ones tax return.
Can I not report 1099c on Massachusetts state tax?
If a copy of 1099C has not been sent to the state, how would the state know?
I filed a 1099c for debt and the account was sold to a new creditor do I have to pay?
You mean you received a 1099C right...you had (cancellation of debt)income because you had a bankruptcy or failed to pay what the persdon issuing it to you had loaned you. In any case, no matter what the circumstances, the facts haven't changed....just the name of who you owe that debt to. That doesn't change anything about your accounting, taxability or reporting obligation.
How do you get a 1099c?
See my answer to post "Collections after 1099c???" A creditor will send you, the debtor, (and the IRS) a copy if they have decided to cancel (forgive) your debt by issuance of a 1099c which means they will give up their right to any further collection of this debt.
Can a car get repo after 1099c?
Yes
Will cancelled credit card debt be reported on a credit report?
It should. * Yes, and the debtor will receive a 1099C from the creditor, the amount shown on the form is considered taxable income under IRS rules and must be reported on the debtor's tax return as such.
Does a 1099C mean the creditor has cancelled the debt?
Yes. A 1099C is confirmation from the creditor or lender that the debt has been cancelled and collection efforts have ended. The bad news is, the amount shown on the 1099C is considered taxable income and must be claimed on your federal tax return.
