Received a 1099-C....

[1carcrazyguy]

The annoying thing is that it's not even on my credit and hasn't been for years. I barely remember the account

Do you barely remember getting the money from them and then using the money?

[Captain Crawfish]

Do you barely remember getting the money from them and then using the money?

Nobody remembers shit when it's time to pay it back!

[sig239]

Yeah, isnt it only 7 years??

Any time in that 7yr if the contact you it starts over. they could keep it on you for ever if they want.

[black2002ls]

Any time in that 7yr if the contact you it starts over. they could keep it on you for ever if they want.

Not sure what it is for secured, however, for unsecured, simply communicating doesn't reset the clock. A payment must be made on the account to reset the clock

[Slowhand]

My folks are going through this, their accountant handled it because it was placed by a collection agency instead of the original creditor.


Texas has a 4 year SOL. They can still attempt to collect, but they are pissing up a rope. Time generally starts from the last transaction/payment/charge off. Once it has gone to collection, they would essentially be able to report it into perpetuity, which is why the SOL starts on the more consumer friendly end of the calender.


They can report, but check Texas, 4 years is recognized as the SOL.

You're right about the SOL, but the IRS is completely unconcerned with the Texas SOL. Cancelled debt is income (with a few exceptions), and that includes debt that's been cancelled by lapse of the SOL; in fact, it'll be coded as such on the 1099-C if that's the case.

[SSMAN]

My ex flat out got docked at income tax time . Could not file without addressing it

[SMKR]

Do you barely remember getting the money from them and then using the money?

Lulz my Ninja

[GE]

Once it has gone to collection, they would essentially be able to report it into perpetuity...

Someone's been watching too much Shark Tank!

[Sean88gt]

Someone's been watching too much Shark Tank!

More like a subject in property at the moment.

[FastFox]

If you owe them, pay them. They have a right to collect what is theirs.

[Sean88gt]

If you owe them, pay them. They have a right to collect what is theirs.

Do you believe the same about traffic enforcement? Increased tax rates, etc?