The Legal Buzz Blog: Short Sales and Taxes

I Short Sold a Home

1099-MISC

 

Will I Receive a 1099?

If you had short sale on your property you will receive a 1099.   Short Sale Negotiators, Closing Agents and Lawyers have no control over who receives a 1099.  In fact, if any debt over $600 was forgiven during the course of the year you will receive a 1099 PERIOD.

But it was my Homestead…

You will receive a 1099.  Even though a 1099 was issued you may not owe any taxes from the 1099.  If you sold the property was Short Sold in 2013 it will not be subject to taxes.

It was not my Homestead.

Consult with a licensed and experienced CPA. If the property was NOT your homestead it is a bit more complicated.  Taxes generally may be incurred, but typically it is not very much if any at all. 

Roland H. Acosta & Associates, PA is a comprehensive boutique law firm located in Winter Park, Florida that can help with most legal issues.   This Blog post is for informational purposes only and is not to be considered legal advice.