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Do I claim as taxable income =back lump ssi payment or forgiveness on student loan?

March 22nd, 2010 Leave a comment Go to comments

I was approved for ssi early 2009, I only received 1 back support lump chk but not ongoing as my husband got a promotion that put us over monthly allowed income. Do I have to claim this as income or anywhere on the tax form? I usually do short forms since becoming disabled. I used to itemize with small business before but not sure what I should bother with now. I also had my student loan forgiven discharged, do I count that loan amount as some type of ‘benefit’ or income similar to when people file bankruptcy counts that discharge taxable? I read that someplace about bankruptcy, no that doesn’t apply here. Just the ssi’ benefit & student loan discharge. Or do they even need mentioned in short form.? Thank you.

  1. Mathew
    March 22nd, 2010 at 12:09 | #1

    First of all to answer this question one must know your filing status. You have indicated that you have a husband with income. If you are going to file together (MFJ) the 1099-C you should have received for the canceled debt would be included in that return. If not you will still need to file a return to deal with the form 1099-C. How to go about that depends on a great deal if information that we do not have nor should you disclose it in this forum. The SSI is not taxable income and would have no impact regardless of what you do about the other circumstances. You really do need to deal with the 1099-C for the canceled debt or that will become taxable income to you.

  2. Bostonian In MO
    March 22nd, 2010 at 12:09 | #2

    SSI is not taxable and is never reported on your tax return.

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