Capital One Bank 1099-C Must Be Issued the Same Year Debt was Forgiven Salt Lake City Utah

Cap One, who assigned debt to junk debt buyer in 2003, issued a 1099-C on debt that was disputed. Can they just issue 1099-C's and charge as income when debt was never verified?

Received a collection letter from junk debt buyer regarding this debt in 2003. I requested debt validation, but never heard back from them. Cap One is now issuing a 1099-C as the original creditor?

The way I explained the chargeoff vs debt forgiveness in my last post is exactly how the programs work. If you have proof to the opposite, please post it.

And you're wrong in your assumption. I don't work for and have never worked for Capitol One. Just thought I'd try to explain what happened but you seem to have taken offense at that. Oh well, that (like the tax liability) is on you not me.

Wrong. Don't like dealing with bottom feeders. Cap One "employees" should really learn how to spell.

The debt forgiveness would actually show as account paid. The way it works is you pay a percentage and then the currect owner of the debt "forgives" the remainder. They report it as account paid or account satisfied. However, for a debt forgiveness to be reportable it has to be at least $600. For it to cause as big an impact on you as you claim, the amount forgiven had to be rather large.

Oh for crying out loud, has anyone ever seen "debt forgiven" on their credit report?? Since when do sleazy banks and collection agencies forgive debt? They charge off debt then get a tax break for that year.

To clarify, I just received a notification from the IRS about a 2013 1099-C from Cap One. I never received a 1099 from them which was suppose to have been filed with last years taxes. The IRS wants a lump sum paid by the first week of February.

I have never received a form from the IRS that wasn't for the current tax year which is why these crooks reage and collect more tax breaks.

A charge off is not the same as debt forgiveness. A charge off takes it off of their books but you still owe the money. Debt forgiveness means you no longer owe the debt. So it could easily happen, legally, that it was charged off in 2005 but forgiven in 2013.

But why wait a year to complain about this???