Sentences with phrase «forgiven on their principal residence»

Here's an exception: Filers who had a loan modification, foreclosure or short sale last year can exclude the amount of debt forgiven on their principal residence from gross income in 2017.

The Mortgage Forgiveness Act of 2007 allows you to exclude up to $ 2 million of debt forgiven on your principal residence.

But under the Mortgage Forgiveness Debt Relief Act of 2007, taxpayers are allowed to exclude debt forgiven on their principal residence if the balance of their loan was less than $ 2 million.

Tip: The U.S. House of Representatives has introduced the Mortgage Cancellation Tax Relief Act (H.R. 1876), which would eliminate taxes on any debt forgiven on a principal residence through either short sale or foreclosure.

Not exact matches

Debt that was forgiven on credit cards, second homes, rental property, car loans, or business property does not qualify for the principal residence exclusion.

NAR continues to push for a renewal of the Mortgage Debt Forgiveness Tax Relief Act, which expired at the end of 2014 and waives income tax on mortgage debt forgiven in a short sale or a workout for principal residences.

This was the federal law that allowed Florida home owners as well as home owners across the country to legally exclude from their income taxes any amount that was forgiven by the bank (on principal residences) after a mortgage loan modification, short sale, or from a foreclosure.