Statute of Limitations
Now IRS wants me to pay over $10,000.00
Please help me
1 attorney answer
Based on my research and on my understanding of the law, there is no statute of limitations for the issuance of a Form 1099-C. According to the IRS instructions for a Form 1099-C, a debt is deemed canceled on the date that an identifiable event occurs. Aside from the very specific identifiable events which are listed in the IRS instructions, there is a more general event which is likely the event on which the creditor which repossessed your car relies. The event is as follows: " A discharge of indebtedness because of a decision or a defined policy of the creditor to discontinue collection activity and cancel the debt." The instructions state further that the creditor's established practice regarding when to discontinue collection activity is a defined policy. From your question, I believe that you are suggesting that the creditor could not locate you because you moved and that you should have been found because you filed a change of address. I recommend that you consult a tax practitioner to see whether you qualify for one of the exceptions to having to include as income the amount of the canceled debt.
This answer is not to be construed as legal advice. There is no attorney-client relationship. This answer should be viewed as general information only in a hypothetical situation. If you are seeking legal advice, you should hire an attorney.