How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Wallstreet Esq. Your Own Question
Wallstreet Esq.
Wallstreet Esq., Tax Attorney
Category: Tax
Satisfied Customers: 577
Experience:  10 years experience
16356563
Type Your Tax Question Here...
Wallstreet Esq. is online now
A new question is answered every 9 seconds

I am retired living on only Social Security income my age is

Customer Question

I am retired living on only Social Security income my age is 79.
I sold my principal resident through a short sale and the
lender sent me a letter that I would not receive any revenue
from the sale. I lived in the home for over 10 years. Short
sale sold for $912,500.00.
1099-C received shows debt canceled of $409,014.11 and
indicated the market value as $923,000.00
I think I qualify under the Federal Mortgage Forgiveness
Debt Relief Act. Please advise.-
JA: The Accountant will know how to help. Is there anything else the Accountant should be aware of?
Customer: Yes, The IRS is using a 1099-S form sent in by the Escrow company using the full amount of the Short Sale price as profit from the sale when I did not receive any funds
Submitted: 4 months ago.
Category: Tax
Expert:  Mark Taylor replied 4 months ago.

Hi, my name is Mark. I will be happy to help you with your questions.

Expert:  Mark Taylor replied 4 months ago.

What amount did the 1099-S show?

Expert:  Mark Taylor replied 4 months ago.

Did you receive a notice from the IRS?

Expert:  Mark Taylor replied 4 months ago.

What did you buy the home for? Did you spend anything on improvements?

Related Tax Questions