Ok..I had some debt canceled by a credit card company. They canceled part of what I owed them. An agreement was reached in November of 2005. I made 10 equal payments. The first was in November of 2005 and the last was in August of 2006.What was the date of cancellation? Was it November of 2005 or August of 2006. I did not receive a 1099c from them.Thanks.
2007-02-04 04:50:34 · 2 answers · asked by jerryscoins 1 in Business & Finance ➔ Taxes ➔ United States
You've asked this question several times. If you are not satisfied with the answers you have received, please consult with a qualified tax professional. Even if you ARE satisfied with what has been posted here, I'd still suggest a consultation with a tax pro.
2007-02-04 05:02:43 · answer #1 · answered by Bostonian In MO 7 · 0⤊ 1⤋
When you remit the agreed 10 periodic payments has no bearing on the tax consequences.
The canceled debt is considered income by the IRS in the year the credit card company posted the credit for the canceled amount.
There are five types of debt that are NOT taxable.
Go see a Tax Pro.
2007-02-08 22:18:12 · answer #2 · answered by Robert in Nuuanu 3 · 0⤊ 1⤋