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  • 1.  1099-C

    Posted 03-11-2016 07:51 AM
    A client received a 1099-C for cancellation of debt for a piece of land he still owns in Florida.  The result is a large tax liability.  The lawyer who represented the bank in the transaction told the client that he could issue a letter for him to avoid the tax liability, for a large fee.  No guarantee that the IRS wouldn't challenge his letter.  Has anyone heard of such a letter or is this just a shakedown for a large fee.

    Kenneth S Friedman, CPA


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