I got a letter with cancellation of debt form 1099-C 2021 almost 2 weeks ago and I already fill out tax return with TurboTax last month early. Now got another form lately I don't understand why so I tried to find contact number or live chat with tax professional about it but I can't find anything where I can contact? stupid things they don't have provide number or live chat huh??
I hate that IRS whatever! If tax professional that mean I have to pay for service? I wouldn't! I dunno because I am on Social Security so here is letter says: Good news - one of your creditors has written off your debt, which means they canceled or discharged the account. As a result, the creditor issued a Form 1099-C, Cancelation of Debt, which we are forwarding to you. Because the creditor issued you this form, you might need to report any taxable amount of a canceled debt as income on your personal tax return. However, you might not have to include forgiven debt on your tax return if you were insolvent - meaning your liabilities exceeded your assets. If this applies to you, fill out IRS form 982, Reduction of Tax Attributes Due to Discharge of Indebtedness. Additional information related to canceled debts can er found on the IRS website: https//www.irs.gov/forms-pubs/about-publication-4681
We encourage you to contact a tax professional to understand how this affects your tax situation.
I used with TurboTax does figure it out for me while fill it out easy than write fill papers more complication for me I can't do that like 982 form so need your help or suggest?
