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1099C Canceled Debt Pub 4681

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    1099C Canceled Debt Pub 4681

    The Pub has been revised April 19, 2010 and is aviaable on the IRS wed site for download. Help me understand this high lighted paragraph on the front page.
    Pay For Performance Success Payments that reduce principal balance of your home mortgage under the Home Affordable Modification Program are not taxable.

    THIS IS IN THE WHAT IS NEW FOR 2009 Thanks Bob
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