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The Sneaky 1099-C Form: IRS Rules on Forgiven Unsecured Debt

September 15, 2026 by Debt Pave Team

Settle your credit cards for less? Watch out for the tax collector. Learn why the IRS treats forgiven debt as taxable income, how to navigate Form 1099-C, and how the Form 982 insolvency exclusion can save you from a massive unexpected tax bill.

Categories Budgeting & Savings Tags Debt Relief Taxes Credit Repair Personal Finance Leave a comment
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