Hi Amy thanks for the response.
I’m afraid I wasn’t perfectly clear that I received Form 1099-MISC NOT Form 1099-LTC so your response to question 2 are not helpful.
The 1099-MISC reports in Block 3 “Other Income” I received from SURRENDERING my LTC policy NOT a Distribution or benefits.
Form 8853 assumes I have Form 1099-LTC with per Diem or other periodic basis.
So, my original question 2 needs to be addressed with respect to the discussions in Pub 525, specifically;
Page 24 section”Recoveries”, “Tax benefit rule” and,
Page 25 section “Total recovery included in Income”.
Thank you
