I posted this thread on yesterday and have not received a response from anyone. I am new to the site and not quite sure if I posted correctly, so I am trying again.
My client received a 1099A. Box 2 shows 48904.00 and box 4 shows 69900.00. Box 5 shows that client is liable for repayment of debt. From reading the instructions for 1099A, it states that if box 4 is equal to or more than box 2 income from cancellation of debt is zero because the debt is fully satisfied and only the sale of the property is reported. I believe it would be reported on sch D if it was personal residence. However, the property is rental property. How would this be reported? Any help would be appreciated.
Thanks again,
Granny
My client received a 1099A. Box 2 shows 48904.00 and box 4 shows 69900.00. Box 5 shows that client is liable for repayment of debt. From reading the instructions for 1099A, it states that if box 4 is equal to or more than box 2 income from cancellation of debt is zero because the debt is fully satisfied and only the sale of the property is reported. I believe it would be reported on sch D if it was personal residence. However, the property is rental property. How would this be reported? Any help would be appreciated.
Thanks again,
Granny
Comment