How Debt Settlement Impacts Your Taxes
When you're struggling with debt, the last thing you want to think about is how it will affect your taxes. But if you're considering debt settlement, it's important to understand how it could impact your taxes.
Debt settlement is when you negotiate with your creditors to pay off your debt for less than what you owe. It can be a good way to get out of debt, but it can also have some negative tax consequences.
If you settle your debt for less than the full amount, the IRS may consider the forgiven debt to be taxable income. That means you could end up owing taxes on the forgiven debt.
Debt settlement can also lead to a lower credit score, which could make it harder to get approved for loans in the future.
The Law Offices of Omar Zambrano has helped thousands of people and businesses in the past to get out of debt and start over.
Our main goal is to help you find a fresh start FAST!
Schedule your free consultation today! By Calling 626-338-5505 or visiting us at 12738 Ramona Blvd Baldwin Park CA 91706