The 1099C you received has nothing to do with the gain on your property---which is what the 1099 A was all about.
If the property foreclosed on was your primary residence, and the 1099 you receive is for the tax years 2007 through 2013, then you will not have to report the amount on the 1099 form as income for tax purposes. Because the 1099C was issued in 2014, the Mortgage Debt Relief Act does not apply. It ended in 2013. However, there may still be a way to avoid paying taxes on the 1099C income.
The 1099C is the loss suffered by the lender based on the sale of the property and they chose to finally write that debt off as uncollectible in 2014.
You should have received the 1099C by February and there clearly was an error by the lender in not sending it out in a timely manner.
You will need to immediately file an amended tax return for 2014 and include the 1099C as income earned for 2014.
If you were not insolvent in 2014---meaning that you had more assets then debts---including this debt represented by the 1099C, then you will have to pay taxes on the income represented by the 1099C.
If you can show that you were insolvent at the time of the write-off and 1099C ---that your debts, including the house, exceeded your assets, then the IRS will not force you to pay any taxes on the amount that the lender writes off.
If you were not fully insolvent at the time of the foreclosure---as an example you had $10,000 more in assets than in debts, then while the lender may 1099 you for $100,000, you would only have to pay taxes on the amount that you were above the insolvent level----you would pay income taxes on just $10,000.00.
The form you will need to include with your amended tax return to eliminate any obligation to pay taxes on the 1099C income is this form: http://www.irs.gov/pub/irs-pdf/f982.pdf
You may reply back to me using the Reply link and I will be happy to continue to assist you until I am able to address your concerns, to your satisfaction.
Please remember to rate my service to you so that I can be compensated for helping you. Thank you in advance.
I wish you and yours the best in 2015,