Most taxpayers believe that the IRS only charges taxes on income from a regular job or business, stock sale, or sale of an asset, however, it may also levy income tax on canceled tax. According to tax rules specified by the IRS, if a taxpayer’s debt is canceled, discharged, or forgiven, they must include the canceled amount in their gross income and pay taxes on it unless they qualify for an exemption or exclusion. In case they haven’t paid taxes on the canceled debt and have received notice from the IRS, they must immediately seek IRS tax help from an
All You Need to Know about IRS Cancelled Debt
