I did a deed in lieu of foreclosure in 2017 and received a 1099-A. I did not not receive a 1099-C, do I need to file the 1099-A with my 2018 taxes?

[vjcgrad]

I did a deed in lieu of foreclosure with my mortgage vompany and I received a 1099-A from my mortgage company.  I did not receive a 1099-C, do i need to file the 1099.A with my 2018 taxes?

[MichaelDC · Accepted solution]

No. With only the 1099-A and no 1099-C, you do not have income to report. However, please keep it for your records.

Foreclosures may still result in taxable income.

You have already received Form 1099-A which reports foreclosure date, Fair Market Value of the property and the outstanding loan balance.

If the lender forecloses and cancels your debt in the same year, you most likely receive only form 1099-C, which will report how much debt was canceled. That form will have to be reported on your tax return. It is possible that the form 1099-C will be issued in the next year or so... it will have to be reported in the year the form indicates.

Cancelled, forgiven, and discharged debt is considered taxable income unless it qualifies for an exclusion or an exception. The new tax law changes may be a help to you here.

Please feel free to post any additional details or questions in the comment section. 

[abcmah]

What are the new tax laws that can help if I did receive a 1099c?