Mortgage Forgiveness Debt Relief Act of 2007 survives the fiscal cliff! This was set to expire December 31, 2012 and has now been extended through January 1, 2014
What this means for the Mortgage Forgiveness Act you will have until January 1, 2014 to sell your home through sale or and not have to worry about paying income tax on the amount that was forgiven.that are experiencing financial difficulties in keeping their head above water with their mortgages is that they won’t have an additional burden of paying income on their forgiven debt. When a home is sold through a , and a portion of the is written off, normally the homeowner would have to claim that difference on their as income. Through the
In order for homeowners to qualify for this Mortgage Forgiveness Debt Relief Act, the home must be your principal residence.