1099 Bad debt :( Do you HAVE TO receive a 1099 from the creditor for the difference of the the total balance due vs the amount settled for?
i need advice on what to say. ...I know about the $600 rule. Don't they have a choice ? I've been down this road before and some of the creditors never sent me a 1099 for the difference of more then $600. I didn't know why and I never asked. Now I'm facing it again with an amount of about $27,000. and somehow I want to try and talk them out of it, if possible. All I know is my taxes are going to be sky high.