1099-a

[oceanlovin'ea]

I know this has been discussed before. I read the posts and I am drawing a BLANK. Could it be this crazy time?
Anyway, I have a 1099-A with $150,000 in box 2 and box 4 (FMV) of $15,000. Box 5 checked yes. It is from Freddie Mac, not bank where loan was financed.
Property had sinkhole and owner was way behind in payments.So he moved out and was foreclosed on.
clients story - bank sold mortgage to freddie mac when they found out about sinkhole. Foreclosure happened. Bank bought house from freddie mac for FMV and then in 2011 sold house to individual.
He called bank and they said he will not get 1099C.

So where and how do I report the 1099A? It was personal residence. Losses not allowed. Does it have to go on the tax return?

I am just drawing a blank.

Thanks.

Linda, EA

[BHoffman]

Hi Linda - I believe the consensus was that the 1099A info is reported on Sch D, with the personal loss disallowed.

I don't think we resolved the issue of "nonjudicial foreclosures" (so no 1099C will ever be issued) and reporting CODI.

Try taking a look at this website to see if anything there helps:

https://www.fogelcpa.com