1099C from a Debt Collector
The IRS requires any entity discharging a debt to file an “information return” on a Form 1099-C with the IRS. See Treas. Reg. ยง 1.6050P-1(a). Debt collectors or creditors will sometimes mail a form 1099-C to a consumer when debt is settled, discharged, or is no longer collectable. The most relevant requirements for our typical…