Cancellation of debt is reported under Miscellaneous Income in TurboTax. You can go back to that section in TurboTax and change what you entered, or add the information from your 1099-C as long as you have not yet filed. If you have already filed, you will need to file
an amendment to add an 1099-C.
In some situations, canceled debt can be excluded from taxable income. We recommend you reach out to a professional if your situation involves insolvency or bankruptcy. The IRS has strict guidelines for canceled debt that is not directly related to the purchase of a main home. There are several options specific to each taxpayer's situation that determine how to report this debt. For more information, see below
