I got audited that year (my first time ever) and I recieved my refund by mail instead of on my JH card, like expected. I hadnt heard anything from JH nor from the bank that funded the loan at that time saying that i still owed them money for the past two years so I automatically assumed that they got their payments before I was issued my refund that the IRS mailed to me. Apparently I was wrong. Now I am worried about my refund amount being affected this year after reporting the form that i was unexpectedly sent 2 years later. Would I be able to file it with my taxes next year instead?
If you were issued a Form 1099-C, this represents Cancellation of Debt income. You should enter this income on the tax return for the year shown on the form.
Check the year on the form. If the year is 2022, and you have already filed for 2022, then you should amend your 2022 return when that option becomes available.
Before you can file an amended return, the original return will need to have been processed by the IRS (refund issued / payment processed). Also, Form 1040-X for filing an amendment won't be available in TurboTax until February 23, 2023.
See here for more information on forms availability.
See here for more information on preparing an amended return with TurboTax.
Enter the Form 1099-C in the section Miscellaneous Income, 1099-A, 1099-C under Wages & Income. See this help article for more information.
Unbelievable ... you got an advance on your refund and failed to pay it back because they did not know how to pay it back ? The instructions on how to do it was in the legal agreement you signed ... all you had to do was look at the contract. I am sure they tried several times (mail/email/phone) to get you to pay it back since writing off the debt years later is the last resort for any bank/CC company ... this is not what they want to do ever.