How do I create Form 1099-C?

Creating Form 1099-C

  1. Click on the Payer List button.
  2. Double click on the payer name.
  3. Highlight the recipient to add the form to.
  4. Click on the Add Form button.
  5. Choose 1099-C from the Form Type drop down menu.
  6. Fill in the necessary fields on the form:
    • Corrected:  Check this box if it applies.
    • Date of identifiable event: Enter the date of identifiable event. 
    • Amount of debt discharged:  Enter the amount of the canceled debt.
    • Interest if included in box 2: Enter any interest included in the canceled debt amount of box 2. 
    • Debt description: Enter a description of the origin of the debt.  
    • Check here if the debtor was personally liable for repayment of the debt:  Check this box if it applies.
    • Identifiable event code:  Enter the appropriate code to report the nature of the identifiable event.
      • A – Bankruptcy.
      • B - Other judicial debt relief.
      • C - Statute of limitations / deficiency period expired.
      • D - Foreclosure election.
      • E - Debt relief from probate or similar proceeding.
      • F - By agreement.
      • G - Decision or policy to discontinue collection.
      • H – Other actual discharge before identifiable event.
    • Fair market value of property:  Enter the fair market value.
    • Account Number:  A number assigned to recipient by the payer.  This field is optional except for the following cases:
      • The recipient has multiple returns for the same return type.
      • The returns are filed using the E-file Center.
  7. Click Save. 
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