debt settlement
Date: Wed, 03/02/2011 - 10:38
What happens to the difference between the settled amount & the actual amount of the debt? Does it become income the following year? if so, is there any legal way to avoid it?
Many Thanks.
Many Thanks.
If you can prove you were insolvent at the time of the settlemen
If you can prove you were insolvent at the time of the settlement, there would be no taxes due on it. Go to IRS website for info and Form 8453.
