Understanding IRS Form 1099-A and Debt Relief Introduction to IRS Form 1099-A

IRS Form 1099-A is used to report the acquisition or abandonment of secured property that is owned by a borrower. This form is typically issued by lenders or financial institutions when a borrower ceases to make payments on a secured loan, resulting in the lender taking possession of the property.

Key Elements of IRS Form 1099-A
When a lender forecloses on a property or repossesses it due to non-payment, they are required to fill out IRS Form 1099-A. The form includes critical details such as:

Identification: Information about the lender and borrower, including names, addresses, and taxpayer identification numbers.
Property Description: Detailed description of the property involved in the transaction, including its fair market value.
Dates: Dates pertinent to the acquisition or abandonment of the property.