Submitted By: JL
Answered: July 16, 2013 8:30 am

Is all credit card debt that’s forgiven taxable?

Yes, if the credit card borrowing is for consumer purchases. There is no exemption from cancellation of debt (COD) income for personal borrowing other than a home mortgage if forgiveness is completed before the end of this year.

advertisement
Tax Glossary

Tenancy by the entireties

A joint tenancy in real property in the name of both husband and wife. On the death of one tenant, the survivor receives entire interest.

More terms