People form 982 is a very important form if you can claim insolvency. If your debts exceed your assets at the time of the charge off a big portion of not all of that reported income will not be taxed! Read the instructions.
I want to congratulate you for not just doing the right thing but doing the "Hard Thing". What you did allowed you to move forward in your life and saved you from something coming back at your from your past.
Stop letting these banks file a 1099 C on you and start filing it on them. When the bank writes off an alleged debt they receive a tax credit as a loss. The reality is the bank never loaned you any money, and received your promisory note as cash. They have not reported that to the IRS which they're required to do. Here is the definition of debtor per the 1099c The debtor may be an individual, corporation, partnership, trust, estate, association, or company. It is illegal for banks to lend money, so they take your loan contract as cash. You funded the whole thing and they are using you as the surety for the bank.
Easier said than done. When this is turned in to the IRS they will expect the debtor to file it as income. I recommend to my subscribers to claim it on their taxes and use every legal deduction possible to reduce the tax burden.
@@matthewalkman386 Learn the industry if you received a loan from the bank and did not pay it back that IS income you got the money, purchased whatever you wanted,and didn’t pay it back so the forgive or cancel the debt so that is considered income
*Excuse me but I have to correct you here. We the people are the shareholders of the corporation and we the people are not the debtors but the creditors the corporations are the debtors and we the people should be canceling the debt and have it returned unto us the creditors.*
I am on SSI Disability and I just received a notice from Bank of America that they have forgiven $4993.92 of $4993.92. Do I need to worry about paying taxes on this as income? Thanks.
Thank you Sir for your advice on this. I knew nothing about this but had to learn because I got a form this year and didn’t know what it actually meant or what to do. You have helped me. I will turn this form in.
I have a repossession with capital one capital one and it still showing open and it’s holding up for me to buy a new car. I called them today and they said that they can do a sentiment in the 1099C what should I do? I need a new car now and this is making my credit look bad and getting me declined for a new loan
yes get the 1099c and you'll be able to move forward. Use the 1099c to get it removed off your reports because the debt would be paid due to their reporting to the IRS.
Good Rule: Write to the creditor and ask for any and all documentation regarding the account from its inception, including the original contract. See my comment below.
Thank you for sharing your knowledge. I added some more information I am familiar with as a means to help others understand their rights dealing with creditors and debt collectors.
When a debt is charged off or a car repossessed the original creditor or debt collector can choose to file a 1099C cancellation of debt with the IRS. They cannot collect on the debt anymore and the IRS will consider it income.
Yes and no. If you ask for a validation of debt and they don't respond with everything to prove you have to pay them, No. But our laws allows debt collectors to buy debt and collect on it legally, so if they get everything to prove you have to pay, Yes. At the bottom of this video I have a free letter call Cease and Desist Collections use it to make them prove you have to pay the debt. thanks
A lawsuit was filed against the company for wrongful practices which is why my debt was canceled. Why do I still have to pay taxes on it? I'm not sure how to specify this on a Form 982.
@@TheCreditRepairShop Thank you. I will print out Form 982 and attach a letter of explanation. I didn't see a specific option as a Checkbox on the Form for my situation.
If i co-signed for a car and me and my brother both received this for do we both have to claim this on our taxes do we both need to claim this as an income on our taxes?
@The Credit Repair Shop Lyft took about 80% in fees. I did a 1099c for the fees. Also have ever heard of the w2 and 1099s are gift and estate tax forms?
You can write off all of your miles, repairs, fuel, etc. used to perform the Lyft work. You need to sit down with a tax preparer to see how gig workers can file. thanks
Are you asking if a person is a veteran can they get an exemption of the income reported to the IRS on a 1099C form? Good question if that is your question. I'll have to research it and get back to you.
@@TheCreditRepairShop yes, I know there are a few insolvency reasons that they can avoid the tax on a 1099 c but not sure if this will fall under o e if them
That's possible because they have just now made the decision to cancel the debt. Make sure to check the statute of limitation on collecting a debt legally in Texas it could be past the date. Regarding the 1099c you usually won't have to pay anything but you have to file a form 985 www.irs.gov/forms-pubs/about-form-982
will this form cancel my mortage? im asking because some1 is convinced that i can do this legally? now how can i fill this form and still have my home?
I sent this letter to a creditor and they sent me a letter back and said that the debt was paid already. But on my credit report it shows a charge off. What can I do about a charge off if this step doesn't work?
I have a question I have the IRS telling me I need to file a 961 form to sign off a debt. I am very confused over this as they still have not told me who the creditor is or if I am the creditor and I don't know the debt I am to cancel..They said that if I do not cancel it they are going to do my 2014 taxes themselves and I will own the money even though they admit I had no income (capital gains)that year.
You better get to studying because you are the Creditor corporations depend on us for them to be funded and they're always writing bonds against our accounts
Yes it is rare to have to pay anything on a 1099-c, but most people disregard the process to have the tax burden reduced and end up owing the taxes and allowing them to accumulate. Most of my clients that have the 1099-c issue have allowed it to sit for a couple of years. They just didn't know what to do and how to do it. So they let it sit and accumulate interest and penalties.
@@TheCreditRepairShop thank you for your help. And they will remove it from your credit report because it's classified as income and they are not allowed to report income on a credit report, correct?
So, we received a debt of cancellation from irs and now have to pay back, do we file a 1099? for those two debt cancellations? each debt is worth 5 thousand each, creditors one for repo vehicle and other for old credit card debt, or voluntary return vehicle. We spoke with irs and rep stated to write a letter stating the potential value of the returned vehicles, is this correct? even though we have no idea of the value now and it was years ago? or will they reexamine and what if we need to owe back more than the 5 k each?
ok so if you th federally protcted consumer, original creditor, file a 1099-c form for a debt then at that point no one can come after you for that debt ever.
That's what I'm trying to figure out. I sued a debt collector and they wanted to settled on the lawsuit so instead of me proceeding with the lawsuit they offered a settlement and return I would have to drop the lawsuit against all defendents and they would remove all the tradelines from my reports
You need to amend your tax returns. They will be expecting that to be included. Also check with a tax preparer to see how you can possibly get the addition income from the 1099c waived. Thanks
I received a 1099-C from a bank account that belonged to a partnership I was in which was closed about 4-5 years ago. Now the paper has the companys EIN my question is, Do I report this in my regular tax return or do I have to file a different one?
What do I need to do when my credit card creditor who's the original owner of the debt seeked a court judgment for the full amount, plus interest, and fees, in which I paid for in full from them garnishing my work pay checks in 2017....... Now I received a 1099-C in 2019 for 2018 calendar year, from a debt company that I have never heard of or from about this debt.
I never got a 1099-C but the IRS said I owe $14,600 for a charge off on a car repo. Do I pay the whole $14,600 or just the taxes on this amount? Also, I am on S.S. and have a limit on wages earned until I turn 66 years old. Will S.S. look at this as wages and charge me 50% of this amount?
@@TheCreditRepairShopstop telling people that when they can do it themselves. You are leeching off people that way. They want to learn and you are barely teaching. What’s the point of doing the videos then
If you filed it before you don't have to worry about it. Please make sure its 1000% exactly the same as 2016 and that its not another debt. You might need to see advice from a tax preparer to see how you can report that 1099 to the IRS as false.
What is the time line thay can do this? Is there a cut off period? I have debt buyers like sending this stuff after 9 and 10 years later 1099-c. Is that legal? I mean can they wait 20 years later and send a 1099-c? I don't understand why they wait so long.
No it isn't legal is they didn't send you anything due to the statute of limitations for contracts in your state. If they purchased old debt and it was past the statute of limitations for your state and they only did it to get a higher tax write off it could possibly be illegal. You'd have to consult with an attorney in your state. If you don't want to get a lawyer you can do this: 1) find out the statute of limitation of debt in your state. Keep in mind this will only old if they didn't get a judgement. 2) get copies of your credit reports so you can see the charge off/write off date and if it shows the debt was sold. 3) write to the IRS stating that the debt is invalid if it is past the statute of limitations. 4) even if the IRS disagrees with you, they have a option to give you hardship relief so the 1099c won't hurt your tax refund. Search my website or online for the statute of limitations: www.thecreditrepairshop.com search my blog If you need your credit reports click here: www.your3scores.com NOTE: I cannot give you legal advice. If you need legal advice please contact an attorney in your area. thank you!
@@TheCreditRepairShop Well if you Google it. The Google says as long as a debt has not been paid there is no statute of limitations. Boy this port folio and Midland funding are sneaky and sick. Now if I were under the radar and corrupt and a criminal on the run gee I guess it wouldn't matter. Lol but oh well It was debt I didn't pay. I feel the original creditor should get it. Not the buyers. It's not that much. I guess it a good idea not to get into debt. It happens though. Things have changed. Used to not be this way. I thing Bush changed all of this. Well hopefully it's the last one. Thank you sir.
They usually give it to you the next tax season unless your debt was canceled early in the year. I've seen it take up to 2 years to get one. They will come from the IRS. Sometimes the creditor will send a copy directly to the consumer.
I received a letter from the IRS stating I owe taxes on a 1099-C. The amount was for 9,000, but I remember I never charged that much on a Discover card. It was a time I was having financial difficulties. So the amount is wrong. They added fees on top of fees. How do I go about getting proof?
That is exactly what is happening to a lot of people. This will be a back and forth game between You the IRS and Discover. The problem is the IRS will be adding up fee's while everything is being figured out. You'll have to get all of your old charges and submit them to the IRS for review. In some cases the law will not allow fee's to be added because that was not income given to you. They can only charge income to you from actual charges on the card. 1) call the IRS office and let them know you are working on this and ask them what paperwork they would need to dispute the amount and who and where to send it to at the IRS office. When you get the info, send it to the IRS using US Postal Registered Mail. You'll have to prove every step that you are doing your part to keep them from coming down on you. 2) Send a Validation of all Charges request to Discover Card to their dispute department. State that you think your card was "Compromised" when it was open because you never charged $9,000. Leave it at that. Let them submit their documents showing everything including the charges you made, attorney's fee's, interest, etc. 3) Then you'll have the information needed to prove you didn't receive $9,000 in addition income from charges that you made and didn't pay back. 4) Then you send to the IRS. I put the IRS as #1 because you need to get them on the phone as soon as possible to have them put a hold or some notes stating that you are disputing the 1099-c charge amount and that you'll be submitting documents to prove that. Good luck! Steven PS Please let everyone know what happens.
Make sure you don't have to file. Just because you don't have income doesn't mean you don't have too. Even if you don't have to file, if you've received a 1099c the IRS and disability department will consider that as additional income. You need to notify them that it wasn't additional income and that it was a old debt write off by a debt collector. You also need to sit down with a tax preparer to make sure you get a waiver for the 1099c income claim so you won't owe any additional taxes. Thanks
If I received the 1099-C form (for a student loan cancellation) after I filed my taxes and the IRS adjusted my taxes and now say I owe money. Can I go back and just do a 1040x for that year and resubmit it with adding the 1099-C form or should I just pay those taxes owed for that year because of the adjustment? Thanks
Hello sir. I hope you can lend me some advise. So last year (2018) we settled on two credit cards that were in my wife's name only. We received two different 1099-Cs from the two credit card companies with two different discharge dates. One is dated 3/20/2018 and the other one 4/15/2018. So if we are working the insolvency work sheet which retroactive date do we use when it comes to listing our debts, March or April 2018? Do we need to work two different forms for the two different 1099-Cs? How do we address both the dates? Again please keep in mind the 1099-C forms were issued in my wife's name only. Can we include debts and assets that were in only my name and joint with my wife the insolvency worksheet since we file joint taxes? Your feedback will be highly appreciated. Also do 401K accounts count as assets? Thank you.
@@TheCreditRepairShop Thank you so much for your response.Please keep in mind the two 1099-Cs were issued to my wife's name only but we file our taxes jointly. So that being the case am I allowed to add my debts and assets to the sheet? Thank you.
@@captainnemo7086 yes you can add your debts. The "Red Flag" they will be looking for is if you file the 1099C as income. You can still file everything else the way you've always done it. You're just including the additional forms regarding the added income from the 1099C form and your insolvency form.
Yes, yes, yes and yes, yes, yes!!!!! A lot of people don't consider that when figuring their taxes. You'll need to contact a tax pro or do some research on how to file your return. I'm thinking you'd have to do an itemized return. thanks
A UCC 3? Could you go into detail please? Not to much though...since there are trolls...but I'm in the process already and have one more hurdle to jump...and you're saying that a UCC 3 is the way to go?...Thank you for your time...
can you ask them to delete bad report on your credit score too if you stop making payment before the send you that 1099C? and can you ask a refund of payment you make before you receive the form?
If you get a 1099c and the form was filed while you were making payments. Yes you can request a refund. Your credit reports should reflect that the debt is resolved or paid at the least. Best case removed due to the 1099c filing with the IRS.
They will have a spot for additional income not reported by W-2. But make sure to see if you can get the additional income waived, sit down with a tax preparer.
Hello I received this 1099-C last week and I paid the debt once it was sent to a collections service with a settlement for less. Was I supposed to still receive this form?
Yes they will claim the additional amount, BUT if a debt collector purchased the debt they shouldn't be able to claim a 1099C against the discount they gave you.
It's going to be reported to the Federal IRS. They will base it off of your regular tax income Plus the added income of the forgiven debt. You'll pay state and federal taxes based off of that total.
Thank you sir and i filed taxes and owe 99 dollars to IRS but the bank that I got the autoloan says I still owe the debt still and it will not go away and the balance is still there....what shall do sir it says on the 1099 c the about of debt dischard was 15000
So I put in a consumer complaint how I still have a balance when I reported that income to the irs it's still pending and the sad part I still have the vehicle for the autoloan and they don't won't it but still won't give me the title
hello just came across your video I have a question? after I filed in 2019 received a letter from IRS 1099C old canceled debt(2012) for 24,.000.00 asking for 11,000.00 back taxes ? do I file a amended 2018 tax return, or can I add this income to my 2020 tax? since i made less than 2018, thanks
You should check the statute of limitation on debt for your state. If past the statute of limitation to collect you need to contact the IRS to see if you can dispute the 1099c that was filed under that basis. If not past the statute of limitation to collect you'll need to see about doing an waiver for insolvency on your taxes. Get with a tax preparer to help you with that.
Listen people you can do a 1099 c on the company because you dont owe nothing! You have to claim the rights to your property and proceeds you funded everything you have to do 8281 and 1099oid and make these ppl pay their own taxes cuz thats what they billing you for.
As long as its not a judgement and that would be the statute of limitations also at 20 years. All you have to do is write back and notify them that they are attempting to collect a debt that is past the legal statute of limitation to collect for your state. If its a federal student loan it never goes away.
A loan modification debt collectors sent me.a.letter to my late mother's estate letter of cancelation, but are.trying to collect the debt.from me ..I have sent them conditional acceptance..to the loan.servicers .treasury and attorney general..have heard back
They will eventually catch it. The IRS in the process of doing your taxes will see that the additional income was not claimed by you. Sometimes it may take a while to catch it. Most of the time they will see it and adjust your tax refund if you have one coming. You should contact a professional tax preparer and claim a hardship to get the 1099C debt cancellation debt forgiven by the IRS also. Your tax preparer can help you with that.
Since they have sent me a 1099C, do you think that they will change the verbage on the credit report to "Forgiven" or "Settled" or something or better yet, is there a way to remove the debt on the credit report? tia
Yes you should challenge with the bureau's for "inaccurate data" on your credit reports. Use the creditors own document against them. I had a client who had $32,000 "Forgiven" by Citi-bank and we got it off his credit reports by using the 1099C form they filed with the IRS.
@@TheCreditRepairShop Thanks! Your videos are very informative and we appreciate you. I live in an apartment complex and 12 of my neighbors were over last night watching your videos (and others) on this subject and related subjects, having a little Credit Repair pizza party and we found your video clear, concise and linear, personable, done out of care yet professional. We look forward to more of your videos and re-watching them for clarity.
Question.. filed my taxes with 2 dependents.. I get a letter in the mail from U.S. Department of Treasury.. which IRS confiscated it.. 😥 for an offset department of Education. Indicating that owed that debt, but there were no other debts on additional pages.. in the letter it says to call them if it was an error on their behalf.. anyhow how or what should I respond to them letting them know they made an error?
Call them and request the documents showing how much you owed if you did owe a student loan. Double check the school and the original amount. Make sure the school isn't closed and on the Fraud School list. If everything checks out find out if you owe anymore money. If it doesn't check out ask them how to dispute the claim and get your refund sent back to you.
How do I check the schools that would be listed for fraud? Also I would like to share more information with you about my situation? Can you email me @ lbyrd753@gmail.com so I can possibly upload my documents?
Here's the deal now.. my student loans were all closed but now I'm getting notifications that there's been a change to my credit reports. Isn't that some type of fraud? It's showing that most of them have a "0" on it but all of a sudden I get a letter from the servicer that closed them ummmmm, please I need guidance at the moment on the steps I need to take.. also on the department of treasury letter it says that they notified me of that debt but they didn't.. what's going on here.? Guidance please..
Straight from the IRS - In the United States, a Form 1099-OID is a tax form intended to be submitted to the Internal Revenue Service by the holder of debt instruments (such as bonds, notes, or certificates) which were discounted at purchase to report the taxable difference between the instruments' actual value and the discounted purchase.
@@TheCreditRepairShop how are these secured party creditors using this form to get out of debt? Are they purchasing the bond/loan at a discount and now they are the rightful owner.
The debt should have been obsolete due to statute of limitation laws. But I'm thinking it was re-authorized at some point with in the last 7 years. And they are using that paperwork to send the 1099-C to the IRS. Re-authorizing the debt is not technically legal. The only thing that makes it legal is if you maybe paid a small payment to them when they sent you a debt request letter in the mail?
The Credit Repair Shop no I have not send any payment I barely got contact yesterday February 15th 2018 and a 1099-C has the same date as yesterday they send me an email they said the debt with interest is like $5,400 but they're willing to take 1500 if I pay today before there they their offer expired but since it's not a loan and it's a telephone company can they still do that
You have until March 15th to send a dispute of that debt. You need to dispute it on the basis of statute of limitations for your state. Don't fall for their tricks and don't answer any questions if they call you. Don't hide but don't answer questions.
Sorry to bother you my last question how do I dispute it do I have to get a lawyer if so what kind of lawyer I also called the IRS yesterday and they don't have nothing on file I called Sprint and they couldn't find a debt
You don't need a lawyer. Just write a letter stating that you are not obligated to pay this debt due to the statute of limitations for your state. You don't have to use any fancy language. If you need help drafting it let me know. support@thecreditrepairshop.com
How do I get the 1099 C form? It says on the irs site not to download that pdf? Is that accurate? Or do I only need the 982 to declare insolvency? Or both 1099 C and 982? I receive SSDI and SSI.
They r now available Bc congress just passed the laws so u can download all 1099 form…. Due to me calling from DISTRICT OF COLUMBIA & asking for forms that should b available to the public. So the universe heard me & made IT LAW!!!!🤫
You are totally wrong all commercial contracts are legal tender 31 USC 5103 ALLL COMMERCIAL INSTRUMENT ARE LEGAL TENDER. The bank takes your contract and gets credit from the federal reserve its called a bill of exchange. the bank takes that credit and records it on their books as an asset of the total amount of the contract. the bank gives you that credit back to you for u to use as money. the bank never gave any of their money or asset to you as a loan. A loan is a sum of money. they use your promise to pay note as money.
1099c is for cancellation of debt, the 1099a is for abandonment of property and this form is the one everyone is talking about to pay off debt because the belief is that lenders are filing the 1099a form after 36 months to get the money that is in escrow from them getting funds from the treasury that are funds in our "Secret Bank Account" to pay for what we buy. In essence people are claiming that lenders are getting paid 2 times, first by use making monthly payments and 2nd when they claim the funds after 36 months using the 1099a form to the treasury. thanks
Hello Sir, I am wondering if you could give me advice on a situation that has arisen regarding the 1099-C. I purchased a vehicle on credit when I lived in WI in 1999. I have since moved to TX. In 2001, the vehicle was repo'd in Houston, TX. I have rec'd a proposed amount of $3,598 for taxes filed in 2018. It includes cancellation of debt (1099-C) and a couple of other issues. My concern is the cancellation of debt. I never rec'd the 1099-C from the creditor. I have since called and stated I had no knowledge of this account and requested they send me proof. At this time, nothing has been rec'd from the creditor. Should I call the IRS? I'm thinking I can file Form 982 due to insolvency? Any advice you can provide will be much appreciated.
You should file for insolvency to cancel out the additional income stated on the 1099-c form. The major problem I see with the debt was it was past the legal statute of limitation to collect. Unless the creditor got a judgement against you? To get everything over with, fill out the IRS form to show you are insolvent and the additional income will not be added or to have it canceled out against your current income. Next you could send the creditor a letter putting them on notice that you may sue them, due to you now understanding that you had no legal obligation to pay the debt due to the legal statute of limitations on collecting debt. I doesn't no good to deny the debt. Also you need to send this to them in a certified letter. thanks
I just got my 1099 C from a student loan through bank that was charged off and I made payments on the debt and even settlment and it was coded a G. I filed my taxes and I owe $3,000 to IRS. How can I get out of owing that $3,000?
To clarify, did you pay the full amount or made a settlement? If you made a settlement they can send the remaining as addition income in a 1099c to the IRS. You need to sit down with a tax professional to see how to get the 1099c waived from your taxes. Don't let this sit. Get on it right away because they will add interest to any balances owed. thanks
@@TheCreditRepairShop it was a a loan that I was making payments towards and the bank discontinue and forgave because they stop with any forms of loans- Chase. I asked my tax preparer she kept saying what 1099 C was and I told her what the hold situation is and I have other student loans to pay and other debts as well
came back verified . ITS NOT MINES . WHAT I'm I left to do . WHAT words that I need to say for them to take me serious . It must be another option out there !!
I do credit repair in Dallas Tx, just to give you helpful information. Credit Bureaus only house information so you need to take your fight to the debt collector. Send them an "affidavit of denial" of debt. They must reply showing proof in 30 days of receipt. If they don't send something in reply that has your signature agreeing to pay debt send all that info to 3 bureaus demanding to remove. Contact CFPB, FTC, file complaint against debt collector. It then will fall off your credit
People form 982 is a very important form if you can claim insolvency.
If your debts exceed your assets at the time of the charge off a big portion of not all of that reported income will not be taxed! Read the instructions.
I did the right thing. I filed it with my taxes in 2013 when I got it (as income). Thank you, Jesus!
You are a Gem, Mr. Steve. Thank you so much.
I want to congratulate you for not just doing the right thing but doing the "Hard Thing". What you did allowed you to move forward in your life and saved you from something coming back at your from your past.
@@TheCreditRepairShop I need to ask u a question about irs dept ?
*don't
So many different sides to the 1099c. Love it. Thanks a million.
Welcome
Stop letting these banks file a 1099 C on you and start filing it on them. When the bank writes off an alleged debt they receive a tax credit as a loss. The reality is the bank never loaned you any money, and received your promisory note as cash. They have not reported that to the IRS which they're required to do. Here is the definition of debtor per the 1099c The debtor may be an individual, corporation, partnership, trust, estate, association, or company. It is illegal for banks to lend money, so they take your loan contract as cash. You funded the whole thing and they are using you as the surety for the bank.
Easier said than done. When this is turned in to the IRS they will expect the debtor to file it as income. I recommend to my subscribers to claim it on their taxes and use every legal deduction possible to reduce the tax burden.
1099-a secured property
Yes but its worth it
@@TheCreditRepairShop debt is not income
@@matthewalkman386 Learn the industry if you received a loan from the bank and did not pay it back that IS income you got the money, purchased whatever you wanted,and didn’t pay it back so the forgive or cancel the debt so that is considered income
*Excuse me but I have to correct you here. We the people are the shareholders of the corporation and we the people are not the debtors but the creditors the corporations are the debtors and we the people should be canceling the debt and have it returned unto us the creditors.*
Exactly! they have people thinking backwards
you say they are committing fraud, they say you are committing fraud - who really wins that battle?
Wrong.... If you are a citizen to the corperation you are held as collateral to the debt your government owes...
All that can be done
@@matthewalkman386 The person with the best legal standing in Proof
But can you get that debt off your credit report based on this form though?
Yes and alternatively you can get it reported as paid in full and positive.
@@TheCreditRepairShop how do I do that?
@@TheCreditRepairShop ☝🏽☝🏽 how ?
I can remove check systems
2019, state of Texas, payments will no longer "restart the clock". So don't be afraid to make payments
I am on SSI Disability and I just received a notice from Bank of America that they have forgiven $4993.92 of $4993.92. Do I need to worry about paying taxes on this as income? Thanks.
Interesting
This is a great video. My colleagues and I needed this information during these times.
Can I dispute a charge off on the basis that the 1099-C makes this income, and income cannot be reported on my credit report?
When you get a 1099 c does this also make the collection drop off your credit reports?
no, 7 years is when it can no longer be reported
What about tax form 1099-A are we able to fight garnishing since they took the money from my social security as money I abandoned?
Not sure what you mean by they took money you abandoned. Do you have proof of that? Please explain.
Thank you Sir for your advice on this. I knew nothing about this but had to learn because I got a form this year and didn’t know what it actually meant or what to do. You have helped me. I will turn this form in.
So you turned the form into that company, has your debt been forgiving by them?
You may be able to file a form 982 and not have to pay tax on the forgiven debt
if I have unpaid collections past the statute of limitations, will I still receive a 1099c
Sometimes, but most of the time no.
I have a repossession with capital one capital one and it still showing open and it’s holding up for me to buy a new car. I called them today and they said that they can do a sentiment in the 1099C what should I do? I need a new car now and this is making my credit look bad and getting me declined for a new loan
yes get the 1099c and you'll be able to move forward. Use the 1099c to get it removed off your reports because the debt would be paid due to their reporting to the IRS.
@@lakeshaharris1330 If they put it in writing you should do it and you'll be able to use the 1099c to get off your credit reports.
@@TheCreditRepairShop Yes, I got it in writing the settlement debt cancellation letter with all that in there.
Good Rule: Write to the creditor and ask for any and all documentation regarding the account from its inception, including the original contract. See my comment below.
Okay.
Please do a video on 31 U.S.Code 5118d.2
Or title 26 section 61
Or HJR 192 June 5th 1933
Or irs publication 1212, page seven " NOMINEE"
Thank you for sharing your knowledge. I added some more information I am familiar with as a means to help others understand their rights dealing with creditors and debt collectors.
This is what we need to teach in SCHOOL. Starting in Economics or finance classes...heck American Government for high school students lol
I was in a coma and have a 100% medical certificate. Can I get a credit card debt relief?
i still don’t get it, do you mean for example, i can just finance a car for free or cance credit card debt for free or what?
When a debt is charged off or a car repossessed the original creditor or debt collector can choose to file a 1099C cancellation of debt with the IRS. They cannot collect on the debt anymore and the IRS will consider it income.
You don't have any contracts with a debt collection agency, are you legally required to pay a debt collection agency ?
Yes and no. If you ask for a validation of debt and they don't respond with everything to prove you have to pay them, No. But our laws allows debt collectors to buy debt and collect on it legally, so if they get everything to prove you have to pay, Yes. At the bottom of this video I have a free letter call Cease and Desist Collections use it to make them prove you have to pay the debt. thanks
Your a good man
Thanks
Surfin CPA
I asked for a statement from back child support. I received it and will file a 1099 C. I will also file a 1040 listing it as income.
Hey would you be willing to help me through this process
I got the same form in California, 1,000$ For a macys credit card, It’s about 12 years old this amount
Can I send a 1099 c to a creditor too cancel my own Debt
No, they have to make that decision. You can get them to think about that option by disclosing your financial situation to them.
Those loans have been closed btw.. it has been 2 years since they been closed...
A lawsuit was filed against the company for wrongful practices which is why my debt was canceled. Why do I still have to pay taxes on it? I'm not sure how to specify this on a Form 982.
You don't but you need to get the waiver form from the IRS to stop that and notify them of those facts.
@@TheCreditRepairShop Thank you. I will print out Form 982 and attach a letter of explanation. I didn't see a specific option as a Checkbox on the Form for my situation.
If i co-signed for a car and me and my brother both received this for do we both have to claim this on our taxes do we both need to claim this as an income on our taxes?
Did you find out about this? I also co-signed for my sister and I need to know if I have to pay taxes ton this too. 😩
@The Credit Repair Shop Lyft took about 80% in fees. I did a 1099c for the fees. Also have ever heard of the w2 and 1099s are gift and estate tax forms?
You can write off all of your miles, repairs, fuel, etc. used to perform the Lyft work. You need to sit down with a tax preparer to see how gig workers can file. thanks
So what would be a good debt validation letter to send to the creditor and should I send it certified?
Did you find any information on your question?
Are there any exclusion for cancellation of debt to a disable get ?
Are you asking if a person is a veteran can they get an exemption of the income reported to the IRS on a 1099C form? Good question if that is your question. I'll have to research it and get back to you.
@@TheCreditRepairShop yes, I know there are a few insolvency reasons that they can avoid the tax on a 1099 c but not sure if this will fall under o e if them
tx but what about 6 years later I received that
That's possible because they have just now made the decision to cancel the debt. Make sure to check the statute of limitation on collecting a debt legally in Texas it could be past the date. Regarding the 1099c you usually won't have to pay anything but you have to file a form 985 www.irs.gov/forms-pubs/about-form-982
will this form cancel my mortage? im asking because some1 is convinced that i can do this legally? now how can i fill this form and still have my home?
It doesn't trigger an audit, it will trigger a CP2000
What about filling out a 982 form and adding it to a return will I still owe the debt
Wow so a company can hold the money to let in accrued interest and hit you with the 1099c years later?
Hi Mr. Steve I need a repo removed from my wife credit report. Can you assist me with this. Thanks
How do you go about contacting the company to cancel the debt?
So I need to talk to someone because I got a check for the settlement, but it still on my credit need help.
I sent this letter to a creditor and they sent me a letter back and said that the debt was paid already. But on my credit report it shows a charge off. What can I do about a charge off if this step doesn't work?
Dispute to get it removed as an obsolete account or changed to positive account.
I have a question I have the IRS telling me I need to file a 961 form to sign off a debt. I am very confused over this as they still have not told me who the creditor is or if I am the creditor and I don't know the debt I am to cancel..They said that if I do not cancel it they are going to do my 2014 taxes themselves and I will own the money even though they admit I had no income (capital gains)that year.
You better get to studying because you are the Creditor corporations depend on us for them to be funded and they're always writing bonds against our accounts
All the charge offs I have, I've never recieved this form.
Must be over $600
If I’m on SSDI would I still receive one?
form 982 reduction of tax attributes to avoid the tax for the 1099-c?
Yes it is rare to have to pay anything on a 1099-c, but most people disregard the process to have the tax burden reduced and end up owing the taxes and allowing them to accumulate. Most of my clients that have the 1099-c issue have allowed it to sit for a couple of years. They just didn't know what to do and how to do it. So they let it sit and accumulate interest and penalties.
@@TheCreditRepairShop thank you for your help. And they will remove it from your credit report because it's classified as income and they are not allowed to report income on a credit report, correct?
Can filing an Insolvency worksheet help reduce the amount you owe if the 1099-c is for a student loan?
Yes it can, have you spoken to anyone at the irs?
Is this good or bad on a credit card cancelation of debt
So, we received a debt of cancellation from irs and now have to pay back, do we file a 1099? for those two debt cancellations? each debt is worth 5 thousand each, creditors one for repo vehicle and other for old credit card debt, or voluntary return vehicle. We spoke with irs and rep stated to write a letter stating the potential value of the returned vehicles, is this correct? even though we have no idea of the value now and it was years ago? or will they reexamine and what if we need to owe back more than the 5 k each?
ok so if you th federally protcted consumer, original creditor, file a 1099-c form for a debt then at that point no one can come after you for that debt ever.
That is correct.
there was a company I paid a settlement less than agreed and paid a 1099c. and they are still reporting as if I owe the full amount.
w9 form?
How do I request a 1099-c from collectors?
Is a debt cancellation the same thing as a debt settlement?
That's what I'm trying to figure out. I sued a debt collector and they wanted to settled on the lawsuit so instead of me proceeding with the lawsuit they offered a settlement and return I would have to drop the lawsuit against all defendents and they would remove all the tradelines from my reports
How about pre-paid no contract phones, you have to pay up front ?
What if you got a 1099c form and you already filed your tax what do you do
You need to amend your tax returns. They will be expecting that to be included. Also check with a tax preparer to see how you can possibly get the addition income from the 1099c waived.
Thanks
I received a 1099-C from a bank account that belonged to a partnership I was in which was closed about 4-5 years ago. Now the paper has the companys EIN my question is, Do I report this in my regular tax return or do I have to file a different one?
What do I need to do when my credit card creditor who's the original owner of the debt seeked a court judgment for the full amount, plus interest, and fees, in which I paid for in full from them garnishing my work pay checks in 2017....... Now I received a 1099-C in 2019 for 2018 calendar year, from a debt company that I have never heard of or from about this debt.
You should be the one that should be doing the 1099-C to have the money returned back to you so start studying you are the Creditor not the debtor
@@dragonflyvisions9955 have you had success with the process?
Can you still use a 1099 C for garnishments processing for collecting wages or is there a way to stop it before they start collecting?
I never got a 1099-C but the IRS said I owe $14,600 for a charge off on a car repo. Do I pay the whole $14,600 or just the taxes on this amount? Also, I am on S.S. and have a limit on wages earned until I turn 66 years old. Will S.S. look at this as wages and charge me 50% of this amount?
The entire amount can be waived. Get with a tax pro to file your taxes with insolvency for the 1099c.
@@TheCreditRepairShopstop telling people that when they can do it themselves. You are leeching off people that way. They want to learn and you are barely teaching. What’s the point of doing the videos then
What If i got one for 2016 and filed already. And now 2019 I got a 2016 again with the same amount, what do I do then. Help please
If you filed it before you don't have to worry about it. Please make sure its 1000% exactly the same as 2016 and that its not another debt. You might need to see advice from a tax preparer to see how you can report that 1099 to the IRS as false.
What happens if you don’t have the forms anymore. How can I get them?
What is the time line thay can do this? Is there a cut off period? I have debt buyers like sending this stuff after 9 and 10 years later 1099-c. Is that legal? I mean can they wait 20 years later and send a 1099-c? I don't understand why they wait so long.
No it isn't legal is they didn't send you anything due to the statute of limitations for contracts in your state.
If they purchased old debt and it was past the statute of limitations for your state and they only did it to get a higher tax write off it could possibly be illegal. You'd have to consult with an attorney in your state.
If you don't want to get a lawyer you can do this:
1) find out the statute of limitation of debt in your state. Keep in mind this will only old if they didn't get a judgement.
2) get copies of your credit reports so you can see the charge off/write off date and if it shows the debt was sold.
3) write to the IRS stating that the debt is invalid if it is past the statute of limitations.
4) even if the IRS disagrees with you, they have a option to give you hardship relief so the 1099c won't hurt your tax refund.
Search my website or online for the statute of limitations: www.thecreditrepairshop.com search my blog
If you need your credit reports click here: www.your3scores.com
NOTE: I cannot give you legal advice. If you need legal advice please contact an attorney in your area.
thank you!
@@TheCreditRepairShop .Thank you.
@@TheCreditRepairShop Well if you Google it. The Google says as long as a debt has not been paid there is no statute of limitations.
Boy this port folio and Midland funding are sneaky and sick. Now if I were under the radar and corrupt and a criminal on the run gee I guess it wouldn't matter. Lol but oh well It was debt I didn't pay. I feel the original creditor should get it. Not the buyers. It's not that much. I guess it a good idea not to get into debt. It happens though. Things have changed. Used to not be this way. I thing Bush changed all of this. Well hopefully it's the last one. Thank you sir.
It says (keep for your records)
It could be the first one from before.
Hello sir, how long does a creditor have to give you a 1099-c
They usually give it to you the next tax season unless your debt was canceled early in the year. I've seen it take up to 2 years to get one. They will come from the IRS. Sometimes the creditor will send a copy directly to the consumer.
Where do you report the 1099c on a 1040 tax return, can i report it on a schedule C
How I contact with you.I need you your help. Please
www.thecreditrepairshop.com send a message there.
I received a letter from the IRS stating I owe taxes on a 1099-C. The amount was for 9,000, but I remember I never charged that much on a Discover card. It was a time I was having financial difficulties. So the amount is wrong. They added fees on top of fees. How do I go about getting proof?
That is exactly what is happening to a lot of people. This will be a back and forth game between You the IRS and Discover. The problem is the IRS will be adding up fee's while everything is being figured out. You'll have to get all of your old charges and submit them to the IRS for review. In some cases the law will not allow fee's to be added because that was not income given to you. They can only charge income to you from actual charges on the card. 1) call the IRS office and let them know you are working on this and ask them what paperwork they would need to dispute the amount and who and where to send it to at the IRS office.
When you get the info, send it to the IRS using US Postal Registered Mail. You'll have to prove every step that you are doing your part to keep them from coming down on you.
2) Send a Validation of all Charges request to Discover Card to their dispute department. State that you think your card was "Compromised" when it was open because you never charged $9,000. Leave it at that. Let them submit their documents showing everything including the charges you made, attorney's fee's, interest, etc.
3) Then you'll have the information needed to prove you didn't receive $9,000 in addition income from charges that you made and didn't pay back.
4) Then you send to the IRS. I put the IRS as #1 because you need to get them on the phone as soon as possible to have them put a hold or some notes stating that you are disputing the 1099-c charge amount and that you'll be submitting documents to prove that.
Good luck!
Steven
PS Please let everyone know what happens.
Thank you! I will keep you posted.
What if I don't have to file taxes I'm disabled
Make sure you don't have to file. Just because you don't have income doesn't mean you don't have too. Even if you don't have to file, if you've received a 1099c the IRS and disability department will consider that as additional income. You need to notify them that it wasn't additional income and that it was a old debt write off by a debt collector.
You also need to sit down with a tax preparer to make sure you get a waiver for the 1099c income claim so you won't owe any additional taxes.
Thanks
If I received the 1099-C form (for a student loan cancellation) after I filed my taxes and the IRS adjusted my taxes and now say I owe money. Can I go back and just do a 1040x for that year and resubmit it with adding the 1099-C form or should I just pay those taxes owed for that year because of the adjustment? Thanks
Hit the lender or banker with 1099-C and file a 8281 with it trail the money from when they first start double dipping
Hello,
can you walk me through filling out the form 8281?
Thanks😊
Hello sir. I hope you can lend me some advise. So last year (2018) we settled on two credit cards that were in my wife's name only. We received two different 1099-Cs from the two credit card companies with two different discharge dates. One is dated 3/20/2018 and the other one 4/15/2018. So if we are working the insolvency work sheet which retroactive date do we use when it comes to listing our debts, March or April 2018? Do we need to work two different forms for the two different 1099-Cs? How do we address both the dates? Again please keep in mind the 1099-C forms were issued in my wife's name only. Can we include debts and assets that were in only my name and joint with my wife the insolvency worksheet since we file joint taxes? Your feedback will be highly appreciated. Also do 401K accounts count as assets? Thank you.
Everything is listed on 1 sheet. Just choose the right line for the type of debt it is.
@@TheCreditRepairShop Thank you so much for your response.Please keep in mind the two 1099-Cs were issued to my wife's name only but we file our taxes jointly. So that being the case am I allowed to add my debts and assets to the sheet? Thank you.
@@captainnemo7086 yes you can add your debts. The "Red Flag" they will be looking for is if you file the 1099C as income. You can still file everything else the way you've always done it. You're just including the additional forms regarding the added income from the 1099C form and your insolvency form.
Can I do a 1099c to get a reimbursement of fees paid?
Yes, yes, yes and yes, yes, yes!!!!! A lot of people don't consider that when figuring their taxes. You'll need to contact a tax pro or do some research on how to file your return. I'm thinking you'd have to do an itemized return.
thanks
@@TheCreditRepairShop thank you for your help and responding.
What do you mean by “fees paid”? Please explain.
@@ccwynn2550Lyft charge $38k in fees
What If I just choose to become a Secured Party Creditor and then just discharge the debt?
Thad work to wouldn't it? 🤔
A UCC 3? Could you go into detail please? Not to much though...since there are trolls...but I'm in the process already and have one more hurdle to jump...and you're saying that a UCC 3 is the way to go?...Thank you for your time...
Thank you this was very helpful!
can you ask them to delete bad report on your credit score too if you stop making payment before the send you that 1099C? and can you ask a refund of payment you make before you receive the form?
If you get a 1099c and the form was filed while you were making payments. Yes you can request a refund. Your credit reports should reflect that the debt is resolved or paid at the least. Best case removed due to the 1099c filing with the IRS.
I just got one to file with my 2020 taxes. Where on my 1040 form do I enter the 1099-c form. I’m confused
They will have a spot for additional income not reported by W-2. But make sure to see if you can get the additional income waived, sit down with a tax preparer.
Hello I received this 1099-C last week and I paid the debt once it was sent to a collections service with a settlement for less. Was I supposed to still receive this form?
Yes they will claim the additional amount, BUT if a debt collector purchased the debt they shouldn't be able to claim a 1099C against the discount they gave you.
Now what tax rates on the balance forgiven am I looking at? Is it state tax or is there a flat fee or percentage that I will get charged?
It's going to be reported to the Federal IRS. They will base it off of your regular tax income Plus the added income of the forgiven debt. You'll pay state and federal taxes based off of that total.
The Credit Repair Shop thanks for the info
what if the debt was 22 years ago?
Thanks
Welcome!
I got a 1099c for a autoloan they discharge the whole amount ....do I still owe the company?
No you don't owe the company. They reported the debt as income to the IRS and the IRS will expect you to claim it as addition income on your taxes.
Thank you sir and i filed taxes and owe 99 dollars to IRS but the bank that I got the autoloan says I still owe the debt still and it will not go away and the balance is still there....what shall do sir it says on the 1099 c the about of debt dischard was 15000
Their excuse was the only did it for irs purposes
So I put in a consumer complaint how I still have a balance when I reported that income to the irs it's still pending and the sad part I still have the vehicle for the autoloan and they don't won't it but still won't give me the title
???
hello just came across your video I have a question? after I filed in 2019 received a letter from IRS 1099C old canceled debt(2012) for 24,.000.00 asking for 11,000.00 back taxes ? do I file a amended 2018 tax return, or can I add this income to my 2020 tax? since i made less than 2018, thanks
You should check the statute of limitation on debt for your state. If past the statute of limitation to collect you need to contact the IRS to see if you can dispute the 1099c that was filed under that basis. If not past the statute of limitation to collect you'll need to see about doing an waiver for insolvency on your taxes. Get with a tax preparer to help you with that.
@@TheCreditRepairShop thank you so much for your reply, that's what im going to do an insolvency worksheet to IRS and amend my 2018 tax return.
Listen people you can do a 1099 c on the company because you dont owe nothing! You have to claim the rights to your property and proceeds you funded everything you have to do 8281 and 1099oid and make these ppl pay their own taxes cuz thats what they billing you for.
I have tried this and it did not work for me. Oid is when you purchase a bond/loan for a discount. So please explain how this will erase my debt.
please explain Thanks
What happens if it were more than 7 years ago?
hi I just received one of these n the mail it is about 20 years old what do you suggest
As long as its not a judgement and that would be the statute of limitations also at 20 years. All you have to do is write back and notify them that they are attempting to collect a debt that is past the legal statute of limitation to collect for your state. If its a federal student loan it never goes away.
Ok thank you
A loan modification debt collectors sent me.a.letter to my late mother's estate letter of cancelation, but are.trying to collect the debt.from me ..I have sent them conditional acceptance..to the loan.servicers .treasury and attorney general..have heard back
What's the process if you dont add the form with your return and now have owe a debt to the irs. Can you amend your return and include that debt?
They will eventually catch it. The IRS in the process of doing your taxes will see that the additional income was not claimed by you. Sometimes it may take a while to catch it. Most of the time they will see it and adjust your tax refund if you have one coming.
You should contact a professional tax preparer and claim a hardship to get the 1099C debt cancellation debt forgiven by the IRS also. Your tax preparer can help you with that.
Since they have sent me a 1099C, do you think that they will change the verbage on the credit report to "Forgiven" or "Settled" or something or better yet, is there a way to remove the debt on the credit report? tia
Yes you should challenge with the bureau's for "inaccurate data" on your credit reports. Use the creditors own document against them. I had a client who had $32,000 "Forgiven" by Citi-bank and we got it off his credit reports by using the 1099C form they filed with the IRS.
@@TheCreditRepairShop Thanks! Your videos are very informative and we appreciate you. I live in an apartment complex and 12 of my neighbors were over last night watching your videos (and others) on this subject and related subjects, having a little Credit Repair pizza party and we found your video clear, concise and linear, personable, done out of care yet professional. We look forward to more of your videos and re-watching them for clarity.
My cancellation of debt came from a fraudulent charge so I never even touched that money or bought anything with that money.
You need to write a letter to the creditor and to the IRS and for safe measures prepare to file insolvency for that debt if you qualify.
@@TheCreditRepairShop wow thank you
Can I use a 1099 c to get a car?
no
Thanks for the video
Welcome!
Question.. filed my taxes with 2 dependents.. I get a letter in the mail from U.S. Department of Treasury.. which IRS confiscated it.. 😥 for an offset department of Education. Indicating that owed that debt, but there were no other debts on additional pages.. in the letter it says to call them if it was an error on their behalf.. anyhow how or what should I respond to them letting them know they made an error?
Call them and request the documents showing how much you owed if you did owe a student loan. Double check the school and the original amount. Make sure the school isn't closed and on the Fraud School list. If everything checks out find out if you owe anymore money. If it doesn't check out ask them how to dispute the claim and get your refund sent back to you.
How do I check the schools that would be listed for fraud? Also I would like to share more information with you about my situation? Can you email me @ lbyrd753@gmail.com so I can possibly upload my documents?
@@larquittabyrd7446 studentaid.ed.gov/sa/about/announcements/closed-school#list
Here's the deal now.. my student loans were all closed but now I'm getting notifications that there's been a change to my credit reports. Isn't that some type of fraud? It's showing that most of them have a "0" on it but all of a sudden I get a letter from the servicer that closed them ummmmm, please I need guidance at the moment on the steps I need to take.. also on the department of treasury letter it says that they notified me of that debt but they didn't.. what's going on here.? Guidance please..
@@larquittabyrd7446 They may have forgiven the debt and sent a 1099C to the IRS. You'll have to wait and see.
What's with the 1099-oid?
Straight from the IRS - In the United States, a Form 1099-OID is a tax form intended to be submitted to the Internal Revenue Service by the holder of debt instruments (such as bonds, notes, or certificates) which were discounted at purchase to report the taxable difference between the instruments' actual value and the discounted purchase.
@@TheCreditRepairShop how are these secured party creditors using this form to get out of debt? Are they purchasing the bond/loan at a discount and now they are the rightful owner.
What if the debt is from 1995 from Sprint telephone company and I received a 1099-C
The debt should have been obsolete due to statute of limitation laws. But I'm thinking it was re-authorized at some point with in the last 7 years. And they are using that paperwork to send the 1099-C to the IRS. Re-authorizing the debt is not technically legal. The only thing that makes it legal is if you maybe paid a small payment to them when they sent you a debt request letter in the mail?
The Credit Repair Shop no I have not send any payment I barely got contact yesterday February 15th 2018 and a 1099-C has the same date as yesterday they send me an email they said the debt with interest is like $5,400 but they're willing to take 1500 if I pay today before there they their offer expired but since it's not a loan and it's a telephone company can they still do that
You have until March 15th to send a dispute of that debt. You need to dispute it on the basis of statute of limitations for your state. Don't fall for their tricks and don't answer any questions if they call you. Don't hide but don't answer questions.
Sorry to bother you my last question how do I dispute it do I have to get a lawyer if so what kind of lawyer I also called the IRS yesterday and they don't have nothing on file I called Sprint and they couldn't find a debt
You don't need a lawyer. Just write a letter stating that you are not obligated to pay this debt due to the statute of limitations for your state. You don't have to use any fancy language. If you need help drafting it let me know. support@thecreditrepairshop.com
How do I get the 1099 C form? It says on the irs site not to download that pdf? Is that accurate? Or do I only need the 982 to declare insolvency? Or both 1099 C and 982? I receive SSDI and SSI.
You can't submit the form. The company that cancels the debt must submit the form and send you a copy.
The Credit Repair Shop Thank you.
They r now available Bc congress just passed the laws so u can download all 1099 form…. Due to me calling from DISTRICT OF COLUMBIA & asking for forms that should b available to the public. So the universe heard me & made IT LAW!!!!🤫
You are totally wrong all commercial contracts are legal tender 31 USC 5103 ALLL COMMERCIAL INSTRUMENT ARE LEGAL TENDER. The bank takes your contract and gets credit from the federal reserve its called a bill of exchange. the bank takes that credit and records it on their books as an asset of the total amount of the contract. the bank gives you that credit back to you for u to use as money. the bank never gave any of their money or asset to you as a loan. A loan is a sum of money. they use your promise to pay note as money.
Some people think the 1099c form is to pay a debt 🙄
1099c is for cancellation of debt, the 1099a is for abandonment of property and this form is the one everyone is talking about to pay off debt because the belief is that lenders are filing the 1099a form after 36 months to get the money that is in escrow from them getting funds from the treasury that are funds in our "Secret Bank Account" to pay for what we buy.
In essence people are claiming that lenders are getting paid 2 times, first by use making monthly payments and 2nd when they claim the funds after 36 months using the 1099a form to the treasury.
thanks
Hello Sir,
I am wondering if you could give me advice on a situation that has arisen regarding the 1099-C.
I purchased a vehicle on credit when I lived in WI in 1999. I have since moved to TX.
In 2001, the vehicle was repo'd in Houston, TX.
I have rec'd a proposed amount of $3,598 for taxes filed in 2018. It includes cancellation of debt (1099-C) and a couple of other issues.
My concern is the cancellation of debt. I never rec'd the 1099-C from the creditor.
I have since called and stated I had no knowledge of this account and requested they send me proof. At this time, nothing has been rec'd from the creditor.
Should I call the IRS?
I'm thinking I can file Form 982 due to insolvency?
Any advice you can provide will be much appreciated.
You should file for insolvency to cancel out the additional income stated on the 1099-c form. The major problem I see with the debt was it was past the legal statute of limitation to collect. Unless the creditor got a judgement against you?
To get everything over with, fill out the IRS form to show you are insolvent and the additional income will not be added or to have it canceled out against your current income.
Next you could send the creditor a letter putting them on notice that you may sue them, due to you now understanding that you had no legal obligation to pay the debt due to the legal statute of limitations on collecting debt.
I doesn't no good to deny the debt. Also you need to send this to them in a certified letter.
thanks
@@TheCreditRepairShop Thank you so much for your response. I appreciate it to the fullest!
I just got my 1099 C from a student loan through bank that was charged off and I made payments on the debt and even settlment and it was coded a G. I filed my taxes and I owe $3,000 to IRS. How can I get out of owing that $3,000?
To clarify, did you pay the full amount or made a settlement?
If you made a settlement they can send the remaining as addition income in a 1099c to the IRS.
You need to sit down with a tax professional to see how to get the 1099c waived from your taxes. Don't let this sit. Get on it right away because they will add interest to any balances owed.
thanks
@@TheCreditRepairShop it was a a loan that I was making payments towards and the bank discontinue and forgave because they stop with any forms of loans- Chase. I asked my tax preparer she kept saying what 1099 C was and I told her what the hold situation is and I have other student loans to pay and other debts as well
came back verified . ITS NOT MINES . WHAT I'm I left to do . WHAT words that I need to say for them to take me serious . It must be another option out there !!
I do credit repair in Dallas Tx, just to give you helpful information. Credit Bureaus only house information so you need to take your fight to the debt collector. Send them an "affidavit of denial" of debt. They must reply showing proof in 30 days of receipt. If they don't send something in reply that has your signature agreeing to pay debt send all that info to 3 bureaus demanding to remove. Contact CFPB, FTC, file complaint against debt collector. It then will fall off your credit
Call 8883513247