Solved

I am about to complete my filing. I have two questions. We are SC residents and have been all year. The W-2's for one of us shows state ta withheld for SC. I have a feeling they sent it to NC by mistake. They are not helpful by phone. Do you ha

Forum|Forum|7 years ago
June 6, 2019
1 reply
0 views

Second-we had a bankruptcy in 2015. Prior to filing I asked my CPA if there would be income consequences for the cancellation of debt in the foreclosures. He said there would not because there was no income as we surrendered the properties. I have not received any 1099C forms from anyone. Accordingly I ignored this on the return. Want to be sure that is correct.

TurboTax Free Edition Online

Best answer by LeeM

Regarding your tax withheld, as long as your W-2 shows the correct state tax withheld, the rest would be up to your employer. If they submitted it to the wrong state, that would not be your responsibility.

Regarding your 1099-C forms. If you did not receive a Form 1099-C, Cancellation of Debt from any of your debtors, then you do not need to file that form. Usually, companies will not send this until they have removed the debt from their records, if they even send one then.

L

LeeMAnswer

Employee

Regarding your tax withheld, as long as your W-2 shows the correct state tax withheld, the rest would be up to your employer. If they submitted it to the wrong state, that would not be your responsibility.

Regarding your 1099-C forms. If you did not receive a Form 1099-C, Cancellation of Debt from any of your debtors, then you do not need to file that form. Usually, companies will not send this until they have removed the debt from their records, if they even send one then.