How do I avoid paying taxes on a 1099-C? 1.09K viewsOctober 10, 2022Banking and Finance 0 Sam Smith11.38K March 17, 2021 0 Comments Spread the loveSpread the love 1 Answer ActiveVotedNewestOldest 0 Blogolu28.38K Posted March 18, 2021 0 Comments Spread the loveTo establish your right to exclude the money shown on the 1099, you have to file IRS form 982. If you don’t file the form and claim the exception, the IRS has no way to know that, despite the debt forgiveness, there is no tax payable. Spread the love You are viewing 1 out of 1 answers, click here to view all answers. Login