Credit Advice

Have a question? Have advice to share? The combined knowledge and experience of everyone in the Credit Karma community can help you. Enter your question or help others below to get started!

Question

Posted in Taxes
Profile Image

Question By
prepaid

0 Contributions
0 People Helped
1099c insolvency, assets vs liabilities, statute of limitation
I receive from the same debtor, two 1099c (canceled debt) forms, (from the same debtor) both dated Dec 31, 2016. (According to an old credit report I have on hand saved since year 2012), it shows one debit was charged off and reported on Sept 2012, And the other one Oct 2012.
My present report does not shows any accounts on collection, but been removed from collection due to seven year limitation.
1- Am I still liable to report that income on my tax returned 2016, even though its passes the 36 month, but debtor reported after 48 month as canceled debt?

2- Does the cancelled debt reporting should follow the rules of “statute of limitation” when debtor send 1099c form to the IRS?

3- If I am reliable to report this income, does other cancelled debt by other debtors (the removed accounts from collection mentioned above), will count as liabilities against my asset when I fill up the insolvency debt cancellation form 982 /along with insolvency worksheet?


4- Does the IRS count the paid off living home as part of my assets even though the house in my wife name? Also, I am a disable and receive a monthly disability supplements.

Your Credit Scores Should Be Free. And Now They Are.

View your scores and reports anytime.

SIGN UP NOW
All Responses

Results 1-2 of 2Results per page: 5 | 10 | 25Page 1 of 1   Previous | Next
Top Contributor
7816 Contributions
1466 People Helped

This question would be best for an accountant.

Top Contributor
9931 Contributions
4252 People Helped

Ask a certified tax consultant who is also an enrolled agent.  They have all them IRS rules and can help. I was trained as a tax preparer and have associated with two brilliant tax consultants.

Results 1-2 of 2Results per page: 5 | 10 | 25Page 1 of 1   Previous | Next

Your Credit Scores Should Be Free. And Now They Are.

View your scores and reports anytime.

SIGN UP NOW

Reply to this Question

Write your response:
Enter Your Comments

The Credit Advice pages of the Site may contain messages submitted by users over whom Credit Karma has no control. Credit Karma cannot guarantee the accuracy, integrity or quality of any such messages. Some users may post messages that are misleading, untrue or offensive. You must bear all risk associated with your use of the Credit Advice pages and should not rely on messages in making (or refraining from making) any specific financial or other decisions.