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    destny1997's Avatar
    destny1997 Posts: 3, Reputation: 2
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    #1

    Oct 20, 2010, 08:27 AM
    Do you always get a 1099 on a short sale?
    I have 2 loans on my house (80/20) will i get a 1099 on both loans?
    joypulv's Avatar
    joypulv Posts: 21,591, Reputation: 2941
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    #2

    Oct 20, 2010, 09:44 AM
    From what I have heard it depends on the state. The alternative to owing taxes on the amount of the 1099 is to have a suit filed against you by the lender, so either way you technically owe on the 'forgiven' amount in the short sale.
    joypulv's Avatar
    joypulv Posts: 21,591, Reputation: 2941
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    #3

    Oct 20, 2010, 10:00 AM
    Comment on joypulv's post
    1 loan, 2 loans, all that matters is the amount that is considered income.
    excon's Avatar
    excon Posts: 21,482, Reputation: 2992
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    #4

    Oct 22, 2010, 04:03 AM

    Hello d:

    There was a law passed recently that said you will NOT be charged taxes on the "phantom" profit you made on your home.. You MIGHT still receive a 1099, but you can make adjustments on your tax return.

    I'm going to go look for it and link you to it.

    excon
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