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1. Income may be recognized from cancellation of debt in which instance below? * The debt canceled was intended as a gift. The debt was
1.
Income may be recognized from cancellation of debt in which instance below? |
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The debt canceled was intended as a gift. | |||||||||||||||||||||||||||||||||||||||||||||||
The debt was canceled by a purchase price reduction. | |||||||||||||||||||||||||||||||||||||||||||||||
The debt would have been deductible by the taxpayer if paid. | |||||||||||||||||||||||||||||||||||||||||||||||
Debt canceled was from the mortgage on a taxpayer's second home. | |||||||||||||||||||||||||||||||||||||||||||||||
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