My husband and I each received a 1099-c but we only had one mortgage and the amount listed on each is the full amount forgiven. What do we do?

[IsabellaG · Accepted solution]

The IRS requires the issuers of 1099-Cs to issue two of them for the full amount of the mortgages to individuals who are jointly and severally liable for the debt, such as married couples.

As long as they are for the same amount and the same mortgage, and you are filing a joint return, you can report just one of the 1099-Cs but indicate that the names on the 1099-C are both of yours. 

[spkendrick]

My niece and I both recieved a 1099-c for the full amount of a student loan  can this be split 50/50  or can my niece take full responsibility for this loan 100/0 split.  we are filing two separate returns and i cant see any examples where people split the debt or one person takes full responsibility.  I see an example on publication 4681  but they use solvency .  I know they cant double dip and have us both claim 36k each.  so how can i split this up or have my niece take full responsibility.. she has agreed to do so.

[AmyC]

If your niece wants to take it all, that is fine. However you want to split it up, is up to you. However, the IRS may send you a letter stating that you owe taxes on the money since you are not on the same return. You will then have to reply with a COPY of your paper trail proving the total of the income was included in your/her income from this joint loan of cancelled debt.

@spkendrick