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The mortgage forgiveness Debt Relief act of 2007 was extended through 2014. In February last year the congress introduced a new bill Mortgage Forgiveness Tax Relief Act of 2015 but the house didn't voted on it yet. If they eventually do and it passes, they may apply it retroactively.
You can monitor it here: https://www.congress.gov/bill/114th-congress/house-bill/1002/all-actions
Unfortunately, as it stands not, 1099C from short sale of your primary residence is considered a taxable income unless you can proof insolvency (your total assets are less than your total liabilities)
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