ljwalters Posted April 2, 2011 Report Posted April 2, 2011 Client called the lender and could get no answer to why they have not received 1099A or 1099C since this happened in October of 2009. She did have forwarded mail. Has given me all the documentation for the insolvency but we have no bank info. To go on. What would you do? Lina and buddy Quote
jainen Posted April 2, 2011 Report Posted April 2, 2011 >>What would you do?<< I would report gain or loss on the sale in 2009, as applicable. Apparently the borrower is still obligated on the debt he promised to pay, so there is nothing to do about that except make sure YOU get paid. Quote
ljwalters Posted April 2, 2011 Author Report Posted April 2, 2011 How do you get the sale of a residence to show up on the schedule D with a loss non deductable of course. Linda and buddy Quote
ILLMAS Posted April 2, 2011 Report Posted April 2, 2011 Have you considered requesting an IRS transcript? You might be surprised in what you find. Worked for me, client moved to different states and never knew he was issued a 1099-C. Make sure to bill your client for the time you are going to spend and ask for a retainer. Clients think it just picking up the phone and someone answers and everything is resolved in seconds. I asked for two hours at my rate and it took 1:15 minutes from start to finish with transcripts faxed to me. MAS Quote
Pacun Posted April 2, 2011 Report Posted April 2, 2011 File form 4506-T and request info for 2009 and 2010. When you receive that information, amend 2009 if already filed and report the sale. As I mentioned on another post, the bank can take its time and not write off this debt for several years. If the debt is forgiven (let's say) in 5 years, you will have to prepare the insolvency papers at that time. Quote
Pacun Posted April 2, 2011 Report Posted April 2, 2011 How do you get the sale of a residence to show up on the schedule D with a loss non deductable of course. Linda and buddy Please read my post: Form 982 (more than a question, please read) Cancellation of debt Quote
ljwalters Posted April 2, 2011 Author Report Posted April 2, 2011 Please read my post: Form 982 (more than a question, please read) Cancellation of debt Give me a date or something to search on and I would be pleased to read your post. Thanks Again Linda and buddy (searched "Form 982" and " Cancellation of debt" got nothing. Quote
Pacun Posted April 2, 2011 Report Posted April 2, 2011 Give me a date or something to search on and I would be pleased to read your post. Thanks Again Linda and buddy (searched "Form 982" and " Cancellation of debt" got nothing. There is some activity going on with that post, so I should be next to this one. As a matter of fact, I will put them one after another. Quote
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