by mariettacp | Aug 5, 2011 | Accounting News, Money Tips, Tax Preparation
A taxpayer whose debts are forgiven generally has cancellation of debt (COD) income subject to exceptions including one for bankruptcy and one for insolvency. Some taxpayers have taken the position that the bankruptcy exception is available if a grantor trust (trust...
by mariettacp | Jan 12, 2011 | Accounting News, Money Tips, Tax Planning, Tax Preparation, Tax Tips
You may be able to reduce your tax liability through smart debt management planning. Consider whether to defer cancellation of debt (COD) income from the reacquisition of an applicable debt instrument in 2010. The business can elect to have the cancelled COD income...
