You Need To Pay Taxes On Forgiven Credit Card Debt

If you had some credit card debt canceled in 2009 the IRS might want a piece of it.

Yes, if you have set up a debt settlement to close out an account for less than the remaining balance, you need to pay taxes on it. The lender should have sent you a 1099-C, but if they haven’t, be sure to call them up and ask for one.

Cancelled Credit Card Debt Could Be Taxable [LowCards]