mcalli
Apr 7, 2011, 01:12 PM
I am not required to file a 1040 tax form for last year (2010), either by a filing status of married filing jointly or married filing separately. My problem is that I received some 1099-C's in February which claimed that this company that I don't know had canceled some debts. So, I need to let the IRS know that I am insolvent. I was wondering if anyone knows if I absolutely have to file this 982 or if I could just fill out an insolvency worksheet with my info and an explanation and mail it in without filing any type of forms with the IRS.
Quoting from page 86 of the 2010 Tax Guide, "Do not include a canceled debt in your gross income in the following situations...The debt is canceled when you are insolvent."
So, I don't have to add this canceled debt to my income and I don't have to file a 1040. Am I right?
Quoting from page 86 of the 2010 Tax Guide, "Do not include a canceled debt in your gross income in the following situations...The debt is canceled when you are insolvent."
So, I don't have to add this canceled debt to my income and I don't have to file a 1040. Am I right?