Form 1099-C/Cancellation of debt

The UltimateTax program does not have a 1099C. Cancellation of debt income has many factors that contribute to whether or not the income is taxable. Due to this, Form 1099-C for cancellation of debt is not currently in the UltimateTax system. If you need to enter this information into a return you will enter that information on the 1040 line 21.

To do this you will link the 1040 worksheet 7 to line 21 where it says other income. To link the form click on the line and press F9 or right click and choose link.

Enter in information on 1040 worksheet 7, it will automatically carry over to the 1040 pg 1 line 21. You will notice that there is not a line for 1099-C information, you will need to use one of the description lines (17-30) and enter something along the lines of "1099-C" or "Cancellation of debt."

You can also use form 982 to enter in this information. Whichever applies to the return in question.

This information applies to all years of the UltimateTax software.