R-SchuleCPA
Expert Alumni

Get your taxes done using TurboTax

My opinion - A Cosigner guarantees performance but does not assume tax liability. However you did receive a 1099 which requires a reporting obligation to the IRS. My advice is to report sale per 1099, so that the IRS will see that that you reported the transaction, and then to avoid tax, claim a basis in the sale equal to the 1099 amount for a net gain of $0.  

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