Paying income tax on money you never even received.
That’s right. When your lender or creditor writes off your debt, that forgiven debt is treated by the IRS as income. Even though you never actually received any money.
There are ways to avoid paying income tax. And they are 100% legal.
Many people don’t realize that there are ways to avoid paying income tax on forgiven debt. Our tax accountants review your circumstances, to see which of the IRS exemptions you can qualify for in order to legally avoid paying income tax.
Most homeowners who do a short sale can qualify for income tax relief.
The majority of homeowners who have completed a short sale will qualify for the IRS insolvency clause. We guide you through the process so you can verify your insolvency, and then use the insolvency clause to avoid owing thousands of dollars in income tax.