Ch.7 Discharged, how do I file form 982?
Written by on November 15th, 2009Kimberly M asked:
Ok, I have been all over the web and seen a ton of questions and answers about filling out form 982 but nothing for a simple situation such as mine. I have also read all there is on the IRS site but none of it makes any sense!
My husband and I filed Chapter 7 last year (2008). It was discharged in July 2008. The total claim was $52,292.07. It was all credit cards. We did not own a home. We have a homestead deed that was drawn up prior to the actual discharge (April 2008) that lists all of our “exempt” assets and it totals $11227.59. This amount included our tax refund from last year but that amount had to be paid back so the actual asset total is $7232.59.
We received only one 1099-C and that was for $3557.74 from one of the credit card companies. We have not received any others.
Our taxes are absolutely as simple as they get, right up to this form. What do I put on the form 982? Do I put the total of the discharge or just the amount that is shown on the one 1099-C that I received?
Also, I was reading that I needed to submit something to prove insolvency? What do I need to submit? Doesn’t the discharge of the bankruptcy prove I was insolvent?
We are a military family living in Japan and we are not getting any help. I called the navy legal office and was told that they could not help with this issue because it was outside the realm of what they know and they could not offer any assistance (banging my head against the wall!!!).
Any information would be great!!
Thanks!
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Tags: Homestead, Insolvency, Military Family
November 18th, 2009 at 1:59 am
Als al uw schulden in Hoofdstuk 7 faillissement werden gelost, normaal zou u geen 1099-c ontvangen. Al 1099-C' s zou naar de beheerder van uw faillissementslandgoed gaan.
Nochtans, is het niet ongewoon voor 1099-C' s dat naar u in fout moet worden verzonden. Veronderstellend dat 1099-c in uw Hoofdstuk 7 faillissement het indienen werd gelost, dan kunt u 982 invullen en op het slechts het bedrag zetten 1099-c dat u ontving. Het teken op 982 dat de schuld in een Faillissement werd gelost van Titel 11 en u sluit de schuldannulering op die basis uit. Maak een exemplaar van het Faillissement vast indienend als u om het even welke twijfels hebt.
Richard K
Deze raad is in feite gebaseerd op mijn begrip van de belastingswet zoals het van toepassing op de feiten is die door u worden verstrekt. Zie mijn profiel voor meer informatie.
November 20th, 2009 at 12:50 am
You prove insolvency only for debts not discharged in bankruptcy. Since you are getting 1099-Cs, you put them on the form 982. Check the first box about title 11. (all chapters of bankruptcy are in that title)
Then you have to do part 2. That’s a list of remaining assets vs. debt. “exempt” is not the issue. What you still own is. Compare what you still own with the debts remaining. If the debts are more, then you don’t do tax attribute reductions because you have already reached the limit.
See irs pub 4681.