Can You Benefit From The IRS Debt Relief Act
Filed under IRS Debt Relief
The IRS Debt Relief Act has been nothing short of a little windfall for many families across the United States lately. Since the housing crisis started and adjustable rate mortgages adjusted, millions of Americans have found themselves in serious financial trouble. Add this to the layoffs and unemployment rates that have been skyrocketing and many people have been in real trouble with their mortgages.
Many lenders have decided to offer assistance to their borrowers who are in financial trouble. This has proven to be an amazing blessing to many homeowners, as the options laid forth by lenders have helped them to stay in their homes. The problem for many of these borrowers came later, at tax time, when they were told that the government was going to tax the amount of late payments that the mortgage company forgave, pushed back or refinanced and the savings were going to have to count as taxable income for borrowers.
Freedom With The IRS Debt Relief Act
Because of this, many families were finding out that they couldn’t afford to pay their taxes, so they found themselves in a situation that they couldn’t get out of, so they chose to lose their homes. Now, however, homeowners who are facing financial troubles can get the help from their lenders that they need and not have to worry about paying for “income” which they don’t have. The IRS debt relief act has given many borrowers freedom because they can now refinance or get assistance on their mortgages and not have to pay taxes on the money they have saved.
Now, this doesn’t mean that the money doesn’t get reported – it still does. In fact, your lender should offer you a 982 form, or you should tell your tax preparer so that you can get the tax break you need and deserve on your recent refinance or financial help with your mortgage. You can rest assured that unless you’ve gotten help on a second home, you won’t have to worry about being penalized for it anymore.
The good news is that you can also file the IRS 982 electronically and that will make life much easier for many people who will be using this form. Just remember, if you got any type of financial assistance from your lender, you will benefit from the IRS debt relief act. You can rest easy knowing that you got the help you needed so you could keep your home, and you won’t have to pay taxes on it either.
