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.

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Tax Glossary

Archer Medical Savings Account (MSA)

A type of medical plan combining high deductible medical insurance protection with an IRA-type savings account fund to pay unreimbursed medical expenses.

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