DEBT FORGIVENESS APPROVAL FROM BOA (with Comment from PHB)
NESARA-Restore America - Galactic News
NOTE:: "Confirmed Mortgage forgiveness letters" that supposedly are the first steop to NESARA emerging upon the scene. This is another trick/bank scam to fool the people and feed them to the IRS wolves. Be wise! ----PHB
This is from a reader per the DEBT FORGIVENESS LETTERS which are being distributed from the banks.
This one is from Bank Of America.
(SCROLL DOWN TO READ LETTER)
(Free Download at this site: http://www.mediafire.com/?a9u6479wrackp0z (You must have Acrobat Reader.)
What is going on is the bank is issuing a 1099c to the IRS the big surprise will come when your income taxes are due when the tax bill will come. the entire amount the bank forgives will be counted as taxable income at 45% or the IRS will sue to sell it for taxes due if you dont pay lump sum in 45 days of demand letter.if the home does not sell for the taxes due the home owner will still owe the difference
the same thing happens on a distressed short sale at the sheriffs foreclosure auction. if the judgement is for $100,000 and the accepted bid is $20,000 the bank issues a 1099c on the $80,000 loss then the home owner that lost their home at the short sale has an extra $80,000 income to pay 45% tax rate on his next tax bill. people in this situation can wind up in federal prison for tax evasion if they do not make a payment arrangement. and after they get out of prison they will still owe the tax.
This is for a second mortgage not the first mortgage. The bank will send you a 1099 for the amount "forgiven" on the second. This is far different then forgiving the first mortgage baance. For the most part the house is already under water so the bank has NO thing to lose and everything a gain by forgiving the second and handing you a 1099. Dont do it,.. unless you actually have ewuity in the property.