What is the name of your state?South Carolina
I settled with 2 credit cards in 2004. I now have received 2 1099 forms. The forms had the amounts that were taken off the settlements (e.g. 1 card was for $12K, I settled for $3.5K, now I have a 1099 form for $8.5K).
I am sure I have to claim this on my taxes. Is there anyway around this?
Question 2 - Does the IRS tax this $8.5K as income that has not been taxed? If so, how much of the $8.5K can I expect to have to pay back?
This is ridiculous, I cant believe this. I started to think I was going to get ahead, or at least back on the road. Now these 1099's are going to get me oweing the Government instead of the credit card companies.
What form to I need to fill out if I end up having to pay the government money so I can set up payments?
I am desperate, any help will be GREATLY appreciated.
Thank you!
Chad
I settled with 2 credit cards in 2004. I now have received 2 1099 forms. The forms had the amounts that were taken off the settlements (e.g. 1 card was for $12K, I settled for $3.5K, now I have a 1099 form for $8.5K).
I am sure I have to claim this on my taxes. Is there anyway around this?
Question 2 - Does the IRS tax this $8.5K as income that has not been taxed? If so, how much of the $8.5K can I expect to have to pay back?
This is ridiculous, I cant believe this. I started to think I was going to get ahead, or at least back on the road. Now these 1099's are going to get me oweing the Government instead of the credit card companies.
What form to I need to fill out if I end up having to pay the government money so I can set up payments?
I am desperate, any help will be GREATLY appreciated.
Thank you!
Chad