1099-c canceled debt

If the TIN does not match yours, you should call the issuer of the Form 1099-C to get a corrected one. 

 

You can enter your Form 1099-C into TurboTax using the instructions listed below.

 

If you are using TurboTax Desktop:

1. Click on Search in the upper right of your screen
2. Type "1099-C" in the search box
3. Click on "Jump to 1099-C"
4. Your screen will say, "Tell us about your canceled debt"
5. You will enter your information from your Form 1099-C
6. Answer the follow-up screens to determine the taxability of your debt cancellation

If you are using TurboTax Online:

1. Click on "Wages & Income" in your left panel
2. In your right screen scroll down to "Less Common Income"
3. Click on the (down) caret and then
4. Scroll down to "Miscellaneous Income, 1099-A, 1099-C"
5. Click on "Start"
6. Scroll Down to "Cancellation of Debt Form 1099-C" and
7. Click on  "Start"
8. You will follow through the screens and enter your information from your Form 1099-C
9. Answer any follow-up questions to determine your taxability of your cancellation of debt

 

If your foreclosure includes a cancellation of debt, you need to report it as ordinary income if you were personally liable for the entire mortgage, This amount will be reported in Box 2 of a 1099-C that the lender will send you.

 

Click here for additional Information on cancellation of debt.

 

Click here for additional information on foreclosures.

 

Click here for a guide to debt cancellation.

 

Click here for additional information on entering Form 1099-C.