Help me out guys, I need some infoSubmitted by chinkadaro on Thu, 02/04/2010 - 01:03
Okay, I consider myself awake, knowledgeable, and I thought I was pretty good at keeping up with all the shenanigans going on in this land of tryanny, but I missed a biggie. I just learned that a co-worker at my husbands workplace got a 1099 IRS form claiming over a $100,000 as taxable income because of a short sale on his home. In other words, because the bank wrote off, or as they like to say "forgave" the outstanding balance owed from the short sale; the amount they wrote off is considered income, WTF? This just floored me, has anybody else ran into this? Geez, there is no end to screwing homeowners is there. If anyone knows anything about the IRS doing this or has had experience with this let me know because like I said, I totally missed this one. I never read about this in all the articles I've read about foreclosures, short sales etc.