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FAQ / What if I am insolvent?A taxpayer is insolvent when his or her total liabilities exceed his or her total assets. The forgiven debt may be excluded as income under the "insolvency" exclusion. Normally, a taxpayer is not required to include forgiven debts in income to the extent that the taxpayer is insolvent. The forgiven debt may also qualify for exclusion if the debt was discharged in a Title 11 bankruptcy proceeding or if the debt is qualified farm indebtedness or qualified real property business indebtedness. If you believe you qualify for any of these exceptions, see the instructions for Form 982. For more information, see highlights of the Mortgage Forgiveness Debt Relief Act. |
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FAQQ. I chose direct deposit for my 2007 tax refund but also requested a refund anticipation loan (RAL) from my preparer. How does that affect my stimulus payment?Read More » Why are documents notarized? Read More » Q. Is there a hierarchical order in which service must be attempted on a foreign State under the Act? Read More » What Information Does The FBI Have? Read More » |
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NewsJune 17, 25IRS warns American to pre-pay taxes Read More » June 14, 25 German leader presents US President Donald Trump with grandfather’s birth certificate Read More » June 12, 25 Oklahoma man experiences long wait for wife’s death certificate Read More » June 10, 25 Indonesia asks Egypt to join Apostille Convention Read More » |