The FACTA law permits individuals to "opt out" of unsolicited offers for new debt, sales and junkmail generally, much like the "do not call" list we should all be on. The link https://www.optoutprescreen.com allows you to opt out for five years from all solicitations including credit cards.
The internet allows us to search for and apply for different lines of credit and financing we might need without sifting through stacks of unwanted mail. Being on the list will help protect against identity theft, credit scores (by keeping inquiries down) and generally make getting the mail a much more pleasurable experience.
Sign up today.
Monday, February 18, 2008
Saturday, February 16, 2008
1099 received regarding discharged debt
Some creditors have sent 1099 forms to to debtors purporting to have "forgiven" the debt that was actually discharged. The problem is the IRS also receives the form and expects it to be listed as "taxable income" on your 1040 tax return.
The IRS form provided here informs the IRS that the debt was discharged in a bankruptcy and should not be considered taxable income. You should only file this form if you receive one of the bogus 1099s from a creditor but if you do, this form is required or the IRS will expect you to pay taxes on the 'forgiven' debt as income.
Discharge_1099_982.pdf
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