Not sure if anyone will know the answer, but worth a shot.
We worked with a debt service for almost 2 years prior to filing for BK (C13) in November. In that time they settled 3 of our cc's. Our attorney had us add them to the schedule F, though they were already settled, to help protect us later on.
Because they are added to the schedule F of the BK paperwork, when we file our taxes do we need to
A) Claim the amount listed on the 1099 as income
B) Claim insolvency (and complete the insolvency paperwork required) so we don't HAVE to claim the amount on the 1099's as income
C) Do nothing because they are included as part of our BK?
Thank you!
We worked with a debt service for almost 2 years prior to filing for BK (C13) in November. In that time they settled 3 of our cc's. Our attorney had us add them to the schedule F, though they were already settled, to help protect us later on.
Because they are added to the schedule F of the BK paperwork, when we file our taxes do we need to
A) Claim the amount listed on the 1099 as income
B) Claim insolvency (and complete the insolvency paperwork required) so we don't HAVE to claim the amount on the 1099's as income
C) Do nothing because they are included as part of our BK?
Thank you!
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