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1099C - Out Of State Rental Property

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    1099C - Out Of State Rental Property

    Taxpayer gets a 1099C for cancellation of debt on a mortgage for a rental property that he owns in a non-resident state (through a mortgage modification gone bad, not a short sale or foreclosure). Is the income sourced to the state of the property as if the property generated it, or is it sourced to the resident state as intangible income?
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