Delaware, OH asked in Collections and Tax Law for Ohio

Q: I received a "Notice of Intention to File an IRS 1099-C Form"

This notice was from a CA law office who said it was the legal owner of the debt (not representing a client). There was a 1099-C form for a 2017 event included, along with a settlement offer. I filed a report with the State Attorney General immediately to be prudent. I just moved to OH from MI, and the letter was forwarded from my MI address. The account was supposedly charged off in 1999. I have been disputing this account for years, and it keeps bouncing between collection agencies. The account never existed, and the original creditor has no knowledge of the account. I was contacted about the debt in the middle of last year by another collection agency, whom I disputed it with. Prior to that, I heard nothing for years. I am prepared to send a letter of dispute to this law office, but my understanding is that the FDCPA doesn't always apply to this situation. Any advice on the next steps would be greatly appreciated! Thank you.

Related Topics:
1 Lawyer Answer
Matthew Williams
Matthew Williams
  • Cleveland, OH
  • Licensed in Ohio

A: It's time to involve a tax attorney. A 1099-C is a form filed by a lender when they cancel a debt. The cancelled debt is considered taxable income by the IRS. You could be about to get a huge tax bill.

Justia Ask a Lawyer is a forum for consumers to get answers to basic legal questions. Any information sent through Justia Ask a Lawyer is not secure and is done so on a non-confidential basis only.

The use of this website to ask questions or receive answers does not create an attorney–client relationship between you and Justia, or between you and any attorney who receives your information or responds to your questions, nor is it intended to create such a relationship. Additionally, no responses on this forum constitute legal advice, which must be tailored to the specific circumstances of each case. You should not act upon information provided in Justia Ask a Lawyer without seeking professional counsel from an attorney admitted or authorized to practice in your jurisdiction. Justia assumes no responsibility to any person who relies on information contained on or received through this site and disclaims all liability in respect to such information.

Justia cannot guarantee that the information on this website (including any legal information provided by an attorney through this service) is accurate, complete, or up-to-date. While we intend to make every attempt to keep the information on this site current, the owners of and contributors to this site make no claims, promises or guarantees about the accuracy, completeness or adequacy of the information contained in or linked to from this site.