Debtconsolidationcare: Internet's first get-out-of-debt community
553,169 members

Internet's first get-out-of-debt community 553,169 members


Debt Consolidation Forums US tax system and impact on debt

Insolvency Calculation for 1099-c





Sub: Insolvency Calculation for 1099-c
Fri, 26/06/2009 18:11

Hi,

I am in the process of settling over 120K in credit card debt spread over 4 different cards for about 25K. I am planning on submitting a worksheet showing insolvency but had a few questions:

1. In calculating total liabilities, how do I account for the current debt? Do I show the 120K as my credit card debt, the 25K settlement value as credit card debt or do I have to keep these debts out of the equation completely?

2. The CC companies state that they will be issuing a 1099-c by Jan 31. Will I have to wait to calculate my debt/assets at that time (Jan 31) or will the 1099-c show a specific date during the year when the debt was written off?

3. If the credit card debts are written off at different times, so I need to calculate my assets/liabilities for each time period?

Thanks,

Rick



Article Rating: 

Add new comment

Full HTML

  • Web page addresses and e-mail addresses turn into links automatically.

Filtered HTML

  • Web page addresses and e-mail addresses turn into links automatically.
  • Allowed HTML tags: <a> <em> <strong> <cite> <blockquote> <code> <ul> <ol> <li> <dl> <dt> <dd><img>
  • Lines and paragraphs break automatically.

Plain text

  • No HTML tags allowed.
  • Web page addresses and e-mail addresses turn into links automatically.
  • Lines and paragraphs break automatically.
CAPTCHA
This question (Case Insensitive) is for testing whether you are a human visitor and to prevent automated spam submissions.
Image CAPTCHA
Enter the characters shown in the image.
Share post

Inter Next Technologies, Inc., Internet Marketing Services, Reno, NV


Page loaded in 0.257 seconds.