I thought companies were not sending these anymore, we received one for my wife's old vehicle just when I was about to file my taxes. Do I ignore it? or file with a 289 form? I've read conflicting information,
Any help is greatly appreciated.
Even though creditors often send out form 1099-C, debt discharged in BK is not taxable. My BK7 was discharged in Jan. 2011. I got several 1099-Cs and just ignored them when I filed taxes in 2011, I didn't file any forms explaining them, and was never questioned by the IRS. IRS Publication 4681 explains how debt discharged in BK is not considered taxable income.
Thank you very much DaveinAZ!