I received a letter from the IRS today asking me to verify my address. The reason I think it's associated with my credit is because the letter was sent to my old address. This old address is where I was living when a repo happened. The financing company always mispelled the street name and was the creditor who did so. This letter I just received was mispelled in the same way. Does this indicate they they are starting a judgement? Or does this indicate that they are using my repo as a tax write-off and the IRS wants to verify? Or does this indicate something else? Who thinks he or she knows?
RE: Can anyone tell me what th If there is a phone number, call and ask why they want this information, and who gave them the authority to ask. OR USE 1-800-829-1040.
RE: Can anyone tell me what th It's probably because they are going to charge off the deficiency from your repo and the creditor is going to issue a 1099 to you for it. Remember that when someone write off a 'bad debt' on you, the IRS considers that taxable income.
RE: Can anyone tell me what th Does this mean when I file I must count the "bad debt" as income? If so, then I am going to owe IRS big time! OH NO!
RE: Can anyone tell me what th Killer - that's probably what it means. The amount the creditor wrote off will come to you on a 1099 or some form like that. You have to include that as income.
