ILLMAS Posted September 26, 2022 Report Share Posted September 26, 2022 TP received two 1099-C, one was for a foreclosure on a rental property and the other one was for deceased spouse debt and because of the foreclosure, they now have a capital gain on the disposal of the property. I know the foreclosed property is treated as a sale (Form 1099-A was not issued, but sales closing statement was provided), but can the gain be excluded on form 982? TP is insolvent and not in bankruptcy. Quote Link to comment Share on other sites More sharing options...
Terry D EA Posted September 26, 2022 Report Share Posted September 26, 2022 ILLMAS, check out pub 4681. I put a link here if you want to use it. Seems that page 4 & 6 may be of help to you. 2021 Publication 4681 (irs.gov) 2 Quote Link to comment Share on other sites More sharing options...
Lion EA Posted September 26, 2022 Report Share Posted September 26, 2022 https://brasstax.com/ for free COD worksheets (practice aids) as well as reasonably priced self-study and webinars on your topic. Lisa Ihm and Brass Tax Presentations do a lot on cancellation of debt. 1 Quote Link to comment Share on other sites More sharing options...
ILLMAS Posted September 26, 2022 Author Report Share Posted September 26, 2022 16 minutes ago, Terry D EA said: ILLMAS, check out pub 4681. I put a link here if you want to use it. Seems that page 4 & 6 may be of help to you. 2021 Publication 4681 (irs.gov) Thank you. Quote Link to comment Share on other sites More sharing options...
Lee B Posted September 26, 2022 Report Share Posted September 26, 2022 Pub 4681 is fairly well written and has some detailed examples. It's always been my go to reference for these issues. Quote Link to comment Share on other sites More sharing options...
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