Lender · Fort Worth, TX · Member since 2016 · 8k+ posts · 6k+ votes
10mo
@John Gonzalez I think you are referencing a 1099-C form from a cancelled debt. This should be spoken about with a CPA for your tax returns. There might be some CPA's that will comment in this forum. I would suggest posting in the "Tax & Legal" forum too. CPA's hang out in that forum as well.
CPA| New Clients Welcome| 50 States · Member since 2016 · 435 posts · 93 votes
9mo
@John Gonzalez, hi. Form 1099-A is an informational form the lender issues when property is acquired/abandoned, it’s not a “secret method” to magically discharge debt, and a lot of what you see online about this crosses into tax-protestor territory.
There are 20+ CPAs active here on the forum who work with real estate and can help you sort out legitimate strategies around debt workouts, foreclosure, and tax reporting, just make sure anyone you talk to is grounding their advice in the actual Code and IRS guidance.