Saturday, November 22, 2008 | 12:59 a.m.

Tax On Forgiven Debt

by Edith Lank

Dear Edith: We had a $22,000 write-off from our short sale. It was money we didn't have to pay back on our mortgage.

Our accountant said we had to declare this as income. This caused us to owe money on our taxes instead of receiving a refund. I saw your response to this same scenario stating that we do not have to file this as income.

Is it possible to forward any literature you have confirming this, and also, how do we go about changing or editing our taxes we already submitted ...

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Saturday, November 22, 2008 | 12:59 a.m.
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