I am filling out a 1099-C to send to a debtor. I am cancelling just over $5,000 in debt owed to me. On box 7 of the form 1099-C, it states "Fair market value". Would that be the full loan amount of $5,000? Since I didn't have any property to take back and sell, there was nothing of value ever given to me. I never received anything back from the loan.
