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Irs E File 2013

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Irs E File 2013

Irs e file 2013 6. Irs e file 2013   How To Get Tax Help Table of Contents Low Income Taxpayer Clinics (LITCs). Irs e file 2013 Whether it's help with a tax issue, preparing your tax return or a need for a free publication or form, get the help you need the way you want it: online, use a smart phone, call or walk in to an IRS office or volunteer site near you. Irs e file 2013 Free help with your tax return. Irs e file 2013   You can get free help preparing your return nationwide from IRS-certified volunteers. Irs e file 2013 The Volunteer Income Tax Assistance (VITA) program helps low-to-moderate income, elderly, people with disabilities, and limited English proficient taxpayers. Irs e file 2013 The Tax Counseling for the Elderly (TCE) program helps taxpayers age 60 and older with their tax returns. Irs e file 2013 Most VITA and TCE sites offer free electronic filing and all volunteers will let you know about credits and deductions you may be entitled to claim. Irs e file 2013 In addition, some VITA and TCE sites provide taxpayers the opportunity to prepare their own return with help from an IRS-certified volunteer. Irs e file 2013 To find the nearest VITA or TCE site, you can use the VITA Locator Tool on IRS. Irs e file 2013 gov, download the IRS2Go app, or call 1-800-906-9887. Irs e file 2013   As part of the TCE program, AARP offers the Tax-Aide counseling program. Irs e file 2013 To find the nearest AARP Tax-Aide site, visit AARP's website at www. Irs e file 2013 aarp. Irs e file 2013 org/money/taxaide or call 1-888-227-7669. Irs e file 2013 For more information on these programs, go to IRS. Irs e file 2013 gov and enter “VITA” in the search box. Irs e file 2013 Internet. Irs e file 2013    IRS. Irs e file 2013 gov and IRS2Go are ready when you are —24 hours a day, 7 days a week. Irs e file 2013 Download the free IRS2Go app from the iTunes app store or from Google Play. Irs e file 2013 Use it to check your refund status, order transcripts of your tax returns or tax account, watch the IRS YouTube channel, get IRS news as soon as it's released to the public, subscribe to filing season updates or daily tax tips, and follow the IRS Twitter news feed, @IRSnews, to get the latest federal tax news, including information about tax law changes and important IRS programs. Irs e file 2013 Check the status of your 2013 refund with the Where's My Refund? application on IRS. Irs e file 2013 gov or download the IRS2Go app and select the Refund Status option. Irs e file 2013 The IRS issues more than 9 out of 10 refunds in less than 21 days. Irs e file 2013 Using these applications, you can start checking on the status of your return within 24 hours after we receive your e-filed return or 4 weeks after you mail a paper return. Irs e file 2013 You will also be given a personalized refund date as soon as the IRS processes your tax return and approves your refund. Irs e file 2013 The IRS updates Where's My Refund? every 24 hours, usually overnight, so you only need to check once a day. Irs e file 2013 Use the Interactive Tax Assistant (ITA) to research your tax questions. Irs e file 2013 No need to wait on the phone or stand in line. Irs e file 2013 The ITA is available 24 hours a day, 7 days a week, and provides you with a variety of tax information related to general filing topics, deductions, credits, and income. Irs e file 2013 When you reach the response screen, you can print the entire interview and the final response for your records. Irs e file 2013 New subject areas are added on a regular basis. Irs e file 2013  Answers not provided through ITA may be found in Tax Trails, one of the Tax Topics on IRS. Irs e file 2013 gov which contain general individual and business tax information or by searching the IRS Tax Map, which includes an international subject index. Irs e file 2013 You can use the IRS Tax Map, to search publications and instructions by topic or keyword. Irs e file 2013 The IRS Tax Map integrates forms and publications into one research tool and provides single-point access to tax law information by subject. Irs e file 2013 When the user searches the IRS Tax Map, they will be provided with links to related content in existing IRS publications, forms and instructions, questions and answers, and Tax Topics. Irs e file 2013 Coming this filing season, you can immediately view and print for free all 5 types of individual federal tax transcripts (tax returns, tax account, record of account, wage and income statement, and certification of non-filing) using Get Transcript. Irs e file 2013 You can also ask the IRS to mail a return or an account transcript to you. Irs e file 2013 Only the mail option is available by choosing the Tax Records option on the IRS2Go app by selecting Mail Transcript on IRS. Irs e file 2013 gov or by calling 1-800-908-9946. Irs e file 2013 Tax return and tax account transcripts are generally available for the current year and the past three years. Irs e file 2013 Determine if you are eligible for the EITC and estimate the amount of the credit with the Earned Income Tax Credit (EITC) Assistant. Irs e file 2013 Visit Understanding Your IRS Notice or Letter to get answers to questions about a notice or letter you received from the IRS. Irs e file 2013 If you received the First Time Homebuyer Credit, you can use the First Time Homebuyer Credit Account Look-up tool for information on your repayments and account balance. Irs e file 2013 Check the status of your amended return using Where's My Amended Return? Go to IRS. Irs e file 2013 gov and enter Where's My Amended Return? in the search box. Irs e file 2013 You can generally expect your amended return to be processed up to 12 weeks from the date we receive it. Irs e file 2013 It can take up to 3 weeks from the date you mailed it to show up in our system. Irs e file 2013 Make a payment using one of several safe and convenient electronic payment options available on IRS. Irs e file 2013 gov. Irs e file 2013 Select the Payment tab on the front page of IRS. Irs e file 2013 gov for more information. Irs e file 2013 Determine if you are eligible and apply for an online payment agreement, if you owe more tax than you can pay today. Irs e file 2013 Figure your income tax withholding with the IRS Withholding Calculator on IRS. Irs e file 2013 gov. Irs e file 2013 Use it if you've had too much or too little withheld, your personal situation has changed, you're starting a new job or you just want to see if you're having the right amount withheld. Irs e file 2013 Determine if you might be subject to the Alternative Minimum Tax by using the Alternative Minimum Tax Assistant on IRS. Irs e file 2013 gov. Irs e file 2013 Request an Electronic Filing PIN by going to IRS. Irs e file 2013 gov and entering Electronic Filing PIN in the search box. Irs e file 2013 Download forms, instructions and publications, including accessible versions for people with disabilities. Irs e file 2013 Locate the nearest Taxpayer Assistance Center (TAC) using the Office Locator tool on IRS. Irs e file 2013 gov, or choose the Contact Us option on the IRS2Go app and search Local Offices. Irs e file 2013 An employee can answer questions about your tax account or help you set up a payment plan. Irs e file 2013 Before you visit, check the Office Locator on IRS. Irs e file 2013 gov, or Local Offices under Contact Us on IRS2Go to confirm the address, phone number, days and hours of operation, and the services provided. Irs e file 2013 If you have a special need, such as a disability, you can request an appointment. Irs e file 2013 Call the local number listed in the Office Locator, or look in the phone book under United States Government, Internal Revenue Service. Irs e file 2013 Apply for an Employer Identification Number (EIN). Irs e file 2013 Go to IRS. Irs e file 2013 gov and enter Apply for an EIN in the search box. Irs e file 2013 Read the Internal Revenue Code, regulations, or other official guidance. Irs e file 2013 Read Internal Revenue Bulletins. Irs e file 2013 Sign up to receive local and national tax news and more by email. Irs e file 2013 Just click on “subscriptions” above the search box on IRS. Irs e file 2013 gov and choose from a variety of options. Irs e file 2013    Phone. Irs e file 2013 You can call the IRS, or you can carry it in your pocket with the IRS2Go app on your smart phone or tablet. Irs e file 2013 Download the free IRS2Go app from the iTunes app store or from Google Play. Irs e file 2013 Call to locate the nearest volunteer help site, 1-800-906-9887 or you can use the VITA Locator Tool on IRS. Irs e file 2013 gov, or download the IRS2Go app. Irs e file 2013 Low-to-moderate income, elderly, people with disabilities, and limited English proficient taxpayers can get free help with their tax return from the nationwide Volunteer Income Tax Assistance (VITA) program. Irs e file 2013 The Tax Counseling for the Elderly (TCE) program helps taxpayers age 60 and older with their tax returns. Irs e file 2013 Most VITA and TCE sites offer free electronic filing. Irs e file 2013 Some VITA and TCE sites provide IRS-certified volunteers who can help prepare your tax return. Irs e file 2013 Through the TCE program, AARP offers the Tax-Aide counseling program; call 1-888-227-7669 to find the nearest Tax-Aide location. Irs e file 2013 Call the automated Where's My Refund? information hotline to check the status of your 2013 refund 24 hours a day, 7 days a week at 1-800-829-1954. Irs e file 2013 If you e-file, you can start checking on the status of your return within 24 hours after the IRS receives your tax return or 4 weeks after you've mailed a paper return. Irs e file 2013 The IRS issues more than 9 out of 10 refunds in less than 21 days. Irs e file 2013 Where's My Refund? will give you a personalized refund date as soon as the IRS processes your tax return and approves your refund. Irs e file 2013 Before you call this automated hotline, have your 2013 tax return handy so you can enter your social security number, your filing status, and the exact whole dollar amount of your refund. Irs e file 2013 The IRS updates Where's My Refund? every 24 hours, usually overnight, so you only need to check once a day. Irs e file 2013 Note, the above information is for our automated hotline. Irs e file 2013 Our live phone and walk-in assistors can research the status of your refund only if it's been 21 days or more since you filed electronically or more than 6 weeks since you mailed your paper return. Irs e file 2013 Call the Amended Return Hotline, 1-866-464-2050, to check the status of your amended return. Irs e file 2013 You can generally expect your amended return to be processed up to 12 weeks from the date we receive it. Irs e file 2013 It can take up to 3 weeks from the date you mailed it to show up in our system. Irs e file 2013 Call 1-800-TAX-FORM (1-800-829-3676) to order current-year forms, instructions, publications, and prior-year forms and instructions (limited to 5 years). Irs e file 2013 You should receive your order within 10 business days. Irs e file 2013 Call TeleTax, 1-800-829-4477, to listen to pre-recorded messages covering general and business tax information. Irs e file 2013 If, between January and April 15, you still have questions about the Form 1040, 1040A, or 1040EZ (like filing requirements, dependents, credits, Schedule D, pensions and IRAs or self-employment taxes), call 1-800-829-1040. Irs e file 2013 Call using TTY/TDD equipment, 1-800-829-4059 to ask tax questions or order forms and publications. Irs e file 2013 The TTY/TDD telephone number is for people who are deaf, hard of hearing, or have a speech disability. Irs e file 2013 These individuals can also contact the IRS through relay services such as the Federal Relay Service. Irs e file 2013    Walk-in. Irs e file 2013 You can find a selection of forms, publications and services — in-person. Irs e file 2013 Products. Irs e file 2013 You can walk in to some post offices, libraries, and IRS offices to pick up certain forms, instructions, and publications. Irs e file 2013 Some IRS offices, libraries, and city and county government offices have a collection of products available to photocopy from reproducible proofs. Irs e file 2013 Services. Irs e file 2013 You can walk in to your local TAC for face-to-face tax help. Irs e file 2013 An employee can answer questions about your tax account or help you set up a payment plan. Irs e file 2013 Before visiting, use the Office Locator tool on IRS. Irs e file 2013 gov, or choose the Contact Us option on the IRS2Go app and search Local Offices for days and hours of operation, and services provided. Irs e file 2013    Mail. Irs e file 2013 You can send your order for forms, instructions, and publications to the address below. Irs e file 2013 You should receive a response within 10 business days after your request is received. Irs e file 2013 Internal Revenue Service 1201 N. Irs e file 2013 Mitsubishi Motorway Bloomington, IL 61705-6613    The Taxpayer Advocate Service Is Here to Help You. Irs e file 2013 The Taxpayer Advocate Service (TAS) is your voice at the IRS. Irs e file 2013 Our job is to ensure that every taxpayer is treated fairly and that you know and understand your rights. Irs e file 2013   What can TAS do for you? We can offer you free help with IRS problems that you can't resolve on your own. Irs e file 2013 We know this process can be confusing, but the worst thing you can do is nothing at all! TAS can help if you can't resolve your tax problem and: Your problem is causing financial difficulties for you, your family, or your business. Irs e file 2013 You face (or your business is facing) an immediate threat of adverse action. Irs e file 2013 You've tried repeatedly to contact the IRS but no one has responded, or the IRS hasn't responded by the date promised. Irs e file 2013   If you qualify for our help, you'll be assigned to one advocate who'll be with you at every turn and will do everything possible to resolve your problem. Irs e file 2013 Here's why we can help: TAS is an independent organization within the IRS. Irs e file 2013 Our advocates know how to work with the IRS. Irs e file 2013 Our services are free and tailored to meet your needs. Irs e file 2013 We have offices in every state, the District of Columbia, and Puerto Rico. Irs e file 2013   How can you reach us? If you think TAS can help you, call your local advocate, whose number is in your local directory and at Taxpayer Advocate, or call us toll-free at 1-877-777-4778. Irs e file 2013   How else does TAS help taxpayers?  TAS also works to resolve large-scale, systemic problems that affect many taxpayers. Irs e file 2013 If you know of one of these broad issues, please report it to us through our Systemic Advocacy Management System. Irs e file 2013 Low Income Taxpayer Clinics (LITCs). Irs e file 2013   Low Income Taxpayer Clinics (LITCs) serve individuals whose income is below a certain level and need to resolve tax problems such as audits, appeals and tax collection disputes. Irs e file 2013 Some clinics can provide information about taxpayer rights and responsibilities in different languages for individuals who speak English as a second language. Irs e file 2013 Visit Taxpayer Advocate or see IRS Publication 4134, Low Income Taxpayer Clinic List. Irs e file 2013 Prev  Up  Next   Home   More Online Publications
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Understanding Your CP232C Notice

We denied your request to extend the time to file Form 5330 because your Form 5558, Application for Extension of Time To File Certain Employee Plan Returns, wasn't signed or was signed by someone who wasn’t authorized.


What you need to do

  • File Form 5330 or a correct Form 5558 by the due date of the Form 5330. If Form 5330 is filed after the due date of the return (including any extension), the return will be considered late and subject to late filing penalties.

You may want to


Answers to Common Questions

Q. Where can I go for more information about Employee Benefit Plans?

A. For more information on Employee Benefit Plans, see Retirement Plans Community.

Q. Can I get help over the phone?

A. If you have questions and/or need help, please call 1-877-829-5500. Personal assistance is available Monday through Friday, 7:00 a.m. to 7:00 p.m. CT.

 


Tips for next year

  • Be sure to sign and mail your Form 5558 on or before the due date of your return.
  • Review the Form 5558 resources at Form 5500 Corner.

 

Page Last Reviewed or Updated: 27-Jan-2014

How to get help

  • Call the 1-800 number listed on the top right corner of your notice.
  • Authorize someone (e.g., accountant) to contact the IRS on your behalf using Form 2848.
  • See if you qualify for help from a Low Income Taxpayer Clinic.
     

The Irs E File 2013

Irs e file 2013 Internal Revenue Bulletin:  2013-7  February 11, 2013  Rev. Irs e file 2013 Proc. Irs e file 2013 2013-16 Table of Contents SECTION 1. Irs e file 2013 PURPOSE SECTION 2. Irs e file 2013 BACKGROUND—HAMP AND THE HAMP PRINCIPAL REDUCTION ALTERNATIVE SECTION 3. Irs e file 2013 BACKGROUND—APPLICABLE PROVISIONS OF LAW SECTION 4. Irs e file 2013 FEDERAL INCOME TAX TREATMENT SECTION 5. Irs e file 2013 INFORMATION-REPORTING OBLIGATIONS SECTION 6. Irs e file 2013 HAMP-PRA BORROWERS’ REPORTING OF DISCHARGES OF INDEBTEDNESS UNDER HAMP-PRA SECTION 7. Irs e file 2013 PENALTY RELIEF FOR 2012 SECTION 8. Irs e file 2013 SCOPE AND EFFECTIVE DATE SECTION 9. Irs e file 2013 DRAFTING INFORMATION SECTION 1. Irs e file 2013 PURPOSE This revenue procedure provides guidance to mortgage loan holders, loan servicers, and borrowers who are participating in the Department of the Treasury’s (Treasury) and Department of Housing and Urban Development’s (HUD) Home Affordable Modification Program® (HAMP®). Irs e file 2013 Under HAMP, a borrower may be eligible for principal reduction of the outstanding balance of a qualifying mortgage pursuant to the program’s Principal Reduction AlternativeSM (PRA). Irs e file 2013 In appropriate cases, HAMP has been offering the PRA as part of a HAMP loan modification since the last quarter of 2010. Irs e file 2013 Current plans call for HAMP to continue accepting new borrowers through the end of 2013. Irs e file 2013 The Internal Revenue Service (Service) is providing this guidance to address the tax consequences for borrowers (HAMP-PRA borrowers) who are participating in the PRA and the reporting obligations for participating mortgage loan holders and servicers. Irs e file 2013 SECTION 2. Irs e file 2013 BACKGROUND—HAMP AND THE HAMP PRINCIPAL REDUCTION ALTERNATIVE . Irs e file 2013 01 To help distressed borrowers lower their monthly mortgage payments, Treasury and HUD established HAMP for mortgage loans that are not owned or guaranteed by the Federal National Mortgage Association (Fannie Mae) or the Federal Home Loan Mortgage Corporation (Freddie Mac). Irs e file 2013 A description of the program can be found at www. Irs e file 2013 makinghomeaffordable. Irs e file 2013 gov. Irs e file 2013 . Irs e file 2013 02 Under HAMP, a participating loan servicer, acting on behalf of the mortgage loan holder, must consider a sequence of modification steps for each eligible borrower’s mortgage loan until the borrower’s monthly payment is reduced to a monthly payment amount determined under the HAMP guidelines. Irs e file 2013 These steps include a reduction in the mortgage loan’s interest rate, an extension of the mortgage loan’s term, and a reduction in the mortgage loan’s principal balance. Irs e file 2013 . Irs e file 2013 03 In some cases, the unpaid principal balance of the modified mortgage loan is divided into (1) an amount that bears stated interest and that is used to calculate the borrower’s new monthly mortgage payment (the “Non-forbearance Portion”), and (2) a forbearance amount, which does not bear stated interest and on which periodic payments of stated principal are not required. Irs e file 2013 The stated principal of the forbearance amount is due upon the earliest of the borrower’s transfer of the property, payoff of the balance on the Non-forbearance Portion of the mortgage loan, or maturity of the mortgage loan. Irs e file 2013 However, as noted in section 2. Irs e file 2013 06 of this revenue procedure, a HAMP-PRA borrower sometimes may not have to pay all or a portion of the forbearance amount. Irs e file 2013 (The forbearance amount associated with a HAMP-PRA principal reduction is called the “PRA Forbearance Amount. Irs e file 2013 ”) . Irs e file 2013 04 If a mortgage loan is being considered for a HAMP modification and the amount owed on the mortgage loan is greater than 115 percent of the value of the property, then the servicer must consider whether principal reduction under PRA should be used as part of the HAMP modification. Irs e file 2013 . Irs e file 2013 05 The first step toward a HAMP modification is a trial period plan, in which the borrower’s monthly mortgage payment is set at a monthly payment amount determined under the HAMP guidelines. Irs e file 2013 The trial period plan effective date is the due date for the first of the reduced payments that are to be made under the trial period plan. Irs e file 2013 (It is the first day of either the first or the second month after the servicer transmits the trial period notice to the borrower. Irs e file 2013 ) In general, the trial period is three months, and, during this period, the borrower must satisfy certain conditions before the changes to the terms of the mortgage loan become permanent (the “Trial Period Conditions”). Irs e file 2013 Specifically, depending on the borrower’s trial period payment history, the borrower’s compliance with HAMP and servicer guidelines, and his or her satisfaction of all other Trial Period Conditions, the borrower will be offered a permanent modification of the terms of the mortgage loan, including monthly mortgage payments that are lower than those under the old mortgage loan. Irs e file 2013 Until the effective date of a permanent modification, the terms of the existing mortgage loan continue to apply. Irs e file 2013 . Irs e file 2013 06 After the mortgage loan is permanently modified under HAMP, if the modified mortgage loan is in good standing on the first, second, or third annual anniversary of the trial period plan effective date (the “Three-year Period”), the servicer must reduce the unpaid principal balance of the mortgage loan on the respective anniversary date by one-third of the initial PRA Forbearance Amount. Irs e file 2013 (The servicer allocates the entire reduction to the remaining PRA Forbearance Amount. Irs e file 2013 ) In general, if a HAMP-PRA borrower’s mortgage loan is in good standing and if the HAMP-PRA borrower pays in full the Non-forbearance Portion of the mortgage loan prior to the reduction of the entire PRA Forbearance Amount, the servicer must reduce the remaining outstanding principal balance of the mortgage loan by the remaining PRA Forbearance Amount. Irs e file 2013 . Irs e file 2013 07 In connection with every HAMP loan modification, the HAMP program administrator (acting on behalf of the federal government) provides incentives to the borrower, the servicer, and the investor (that is, the holder of the mortgage loan). Irs e file 2013 If a HAMP loan modification includes a PRA principal reduction, the HAMP program administrator makes additional incentive payments to the investor. Irs e file 2013 These additional incentives are called “PRA Investor Incentive Payments” and are generally spread over three years. Irs e file 2013 The size of the PRA Investor Incentive Payments depends on the amount of principal reduced, the loan-to-value ratio at the time of the HAMP modification, and the loan’s payment history before the modification. Irs e file 2013 The PRA Investor Incentive Payments range from 18 to 63 percent of the principal amounts reduced. Irs e file 2013 For purposes of this revenue procedure, the excess of the initial PRA Forbearance Amount of a mortgage loan over the aggregate PRA Investor Incentive Payments scheduled to be paid with respect to that loan is called the “PRA Adjusted Forbearance Amount. Irs e file 2013 ” . Irs e file 2013 08 A PRA Investor Incentive Payment is earned by the investor on each date on which the servicer reduces the unpaid principal balance of the mortgage loan by a portion of the PRA Forbearance Amount (generally, on the first three annual anniversaries of the trial period plan effective date). Irs e file 2013 . Irs e file 2013 09 If a HAMP-PRA borrower’s early payment in full of the Non-forbearance Portion of the mortgage loan accelerates the reduction of the remaining PRA Forbearance Amount (described above in section 2. Irs e file 2013 06 of this revenue procedure), the remaining PRA Investor Incentive Payments from the HAMP program administrator are also accelerated. Irs e file 2013 . Irs e file 2013 10 If, prior to completion of the Three-year Period, a mortgage loan ceases to be in good standing because of the HAMP-PRA borrower’s payment history, then the remaining PRA Forbearance Amount is not further reduced and is due when the HAMP-PRA borrower transfers the property, the HAMP-PRA borrower refinances, or otherwise pays off the Non-forbearance Portion of the mortgage loan, or the mortgage loan matures. Irs e file 2013 SECTION 3. Irs e file 2013 BACKGROUND—APPLICABLE PROVISIONS OF LAW . Irs e file 2013 01 Under § 61 of the Internal Revenue Code, except as otherwise provided in subtitle A, gross income means all income from whatever source derived, including income from discharge of indebtedness. Irs e file 2013 See § 61(a)(12). Irs e file 2013 . Irs e file 2013 02 Under § 1. Irs e file 2013 1001-3 of the Income Tax Regulations, if a debt instrument undergoes a significant modification, then the modification results in an exchange of the original debt instrument for the modified debt instrument. Irs e file 2013 In general, an agreement to change a term of a debt instrument is a modification at the time the borrower and holder enter into the agreement, even if the change in term is not immediately effective. Irs e file 2013 However, if the change is conditioned on reasonable closing conditions, a modification occurs on the closing date of the agreement. Irs e file 2013 See § 1. Irs e file 2013 1001-3(c)(6). Irs e file 2013 . Irs e file 2013 03 Under § 108(e)(10), in the case of a debt-for-debt exchange (including a deemed exchange under § 1. Irs e file 2013 1001-3), the borrower is treated as having satisfied the original debt instrument with an amount of money equal to the issue price of the new debt instrument. Irs e file 2013 If the amount of debt satisfied in this manner exceeds that issue price, the borrower realizes discharge of indebtedness income on the exchange. Irs e file 2013 See also § 1. Irs e file 2013 61-12(c). Irs e file 2013 . Irs e file 2013 04 The issue price of a non-publicly traded debt instrument issued for non-publicly traded property generally reflects the amount of principal that the borrower is required to pay to the holder of the instrument. Irs e file 2013 If a borrower has the ability to avoid paying certain amounts (including principal) without violating the terms of the instrument, the payment schedule for the instrument is generally determined based on an assumption that the borrower will avoid any requirement to make those payments. Irs e file 2013 See, e. Irs e file 2013 g. Irs e file 2013 , §§ 1. Irs e file 2013 1272-1(c)(5) and 1. Irs e file 2013 1274-2(d). Irs e file 2013 . Irs e file 2013 05 Under § 108(a), gross income does not include any amount that but for § 108(a) would be includible in gross income by reason of the discharge (in whole or in part) of a taxpayer’s indebtedness if (1) the indebtedness discharged is qualified principal residence indebtedness that is discharged before January 1, 2014, or (2) the discharge occurs when the taxpayer is insolvent. Irs e file 2013 Section 108(a)(1)(E) and 108(a)(1)(B). Irs e file 2013 (Although § 108 contains other exclusions as well, this revenue procedure focuses on these two exclusions because they are the most likely to apply to the greatest number of HAMP-PRA borrowers. Irs e file 2013 ) . Irs e file 2013 06 Under §§ 108(h) and 163(h)(3)(B), qualified principal residence indebtedness is any indebtedness that is incurred by a borrower to buy, build, or substantially improve the borrower’s principal residence and is secured by that residence. Irs e file 2013 . Irs e file 2013 07 Qualified principal residence indebtedness also includes a loan secured by the borrower’s principal residence that refinances qualified principal residence indebtedness, but only to the extent of the amount of the refinanced indebtedness. Irs e file 2013 See §§ 108(h) and 163(h)(3)(B)(i). Irs e file 2013 . Irs e file 2013 08 The maximum amount of discharged indebtedness that a borrower may exclude from gross income under the qualified principal residence indebtedness exclusion is $2,000,000 ($1,000,000 for a married individual filing a separate return). Irs e file 2013 Under § 108(h)(4), if only part of the discharged indebtedness is qualified principal residence indebtedness, then the exclusion applies only to the amount of the discharged indebtedness that exceeds the amount of the loan (determined immediately before the discharge) that is not qualified principal residence indebtedness. Irs e file 2013 . Irs e file 2013 09 Under § 108(a)(3), the insolvency exclusion applies to the lesser of the amount of the debt discharged or the amount by which the taxpayer is insolvent immediately before the discharge. Irs e file 2013 . Irs e file 2013 10 Section 108(d)(3) provides that, for purposes of the insolvency exclusion, a taxpayer is insolvent to the extent that the taxpayer’s total liabilities exceed the fair market value of all of the taxpayer’s assets immediately before the discharge of indebtedness. Irs e file 2013 Under § 108(a)(2)(C), the qualified principal residence indebtedness exclusion takes precedence over the insolvency exclusion when both exclusions apply to discharged indebtedness, unless the taxpayer elects to apply the insolvency exclusion. Irs e file 2013 . Irs e file 2013 11 If an amount is excluded from gross income as a discharge of qualified principal residence indebtedness, the taxpayer must reduce the basis of the taxpayer’s principal residence. Irs e file 2013 See § 108(h)(1). Irs e file 2013 If a discharged amount is excluded from gross income because the taxpayer was insolvent when the discharge occurred, the taxpayer must reduce certain tax attributes (possibly including basis). Irs e file 2013 See § 108(b). Irs e file 2013 For further discussion of income from the discharge of indebtedness, the qualified principal residence indebtedness exclusion, the insolvency exclusion, and other exclusions from gross income that may apply, see Publication 4681, Canceled Debts, Foreclosures, Repossessions, and Abandonments (for Individuals). Irs e file 2013 . Irs e file 2013 12 Taxpayers who exclude any discharged amounts from gross income report both the exclusion and the resulting reduction in basis or other tax attributes on Form 982, Reduction of Tax Attributes Due to Discharge of Indebtedness (and Section 1082 Basis Adjustment). Irs e file 2013 See Form 982 instructions and Publication 4681. Irs e file 2013 This form is to be filed with the tax return for the taxable year in which the amount is discharged but is excluded from gross income. Irs e file 2013 . Irs e file 2013 13 Governmental payments made to or on behalf of individuals or other persons are included within the broad definition of gross income under § 61 unless an exception applies. Irs e file 2013 See Notice 2003-18, 2003-1 C. Irs e file 2013 B. Irs e file 2013 699, and Rev. Irs e file 2013 Rul. Irs e file 2013 79-356, 1979-2 C. Irs e file 2013 B. Irs e file 2013 28. Irs e file 2013 However, if disbursements are made by a governmental unit to individuals in the interest of the general welfare (that is, are generally based on individual or family need) and the disbursements do not represent compensation for services, then the amounts disbursed are excluded from the income of the recipient (general welfare exclusion). Irs e file 2013 See Rev. Irs e file 2013 Rul. Irs e file 2013 2005-46, 2005-2 C. Irs e file 2013 B. Irs e file 2013 120, and Rev. Irs e file 2013 Rul. Irs e file 2013 75-246, 1975-1 C. Irs e file 2013 B. Irs e file 2013 24. Irs e file 2013 . Irs e file 2013 14 Under § 451 and § 1. Irs e file 2013 451-1(a), a taxpayer that uses the cash receipts and disbursements method of accounting includes income in gross income when the taxpayer actually or constructively receives the income. Irs e file 2013 . Irs e file 2013 15 Section 6041 requires every person engaged in a trade or business (including the United States and its agencies) to (1) file an information return (Form 1099-MISC, Miscellaneous Income, is used for this purpose) for each calendar year in which the person makes, in the course of its trade or business, payments to another person of fixed or determinable income aggregating $600 or more, and (2) furnish a copy of the information return to that other person. Irs e file 2013 See § 6041(a) and (d) and § 1. Irs e file 2013 6041-1(a)(1) and (b). Irs e file 2013 . Irs e file 2013 16 Section 6050P requires applicable entities (including the United States and its agencies, financial entities, and any organization a significant trade or business of which is the lending of money) to (1) file an information return (Form 1099-C, Cancellation of Debt, is used for this purpose) for each calendar year in which it discharges indebtedness of another person of $600 or more, and (2) furnish a copy of the information return to that other person. Irs e file 2013 See § 6050P(a)-(c) and §§ 1. Irs e file 2013 6050P-1(a) and 1. Irs e file 2013 6050P-2(a) and (d). Irs e file 2013 . Irs e file 2013 17 Section 6721 imposes penalties with respect to information returns required to be filed with the Service. Irs e file 2013 These penalties apply in the case of a failure to timely file an information return, a failure to include all required information on the return, or the inclusion of incorrect information on the return. Irs e file 2013 Section 6724(d)(1) includes Forms 1099-MISC and 1099-C in the term “information return. Irs e file 2013 ” . Irs e file 2013 18 Section 6722 imposes penalties with respect to payee statements required to be furnished to payees. Irs e file 2013 These penalties apply in the case of a failure to timely furnish a payee statement, a failure to include all required information on the statement, or the inclusion of incorrect information on the payee statement. Irs e file 2013 Section 6724(d)(2) includes in the term “payee statement” copies of Forms 1099-MISC and 1099-C that are required to be furnished to taxpayers. Irs e file 2013 SECTION 4. Irs e file 2013 FEDERAL INCOME TAX TREATMENT . Irs e file 2013 01 Because a HAMP modification with a PRA principal reduction is a significant modification, it results in a deemed debt-for-debt exchange in which the HAMP-PRA borrower satisfies the old mortgage loan by issuing a new one. Irs e file 2013 See § 1. Irs e file 2013 1001-3. Irs e file 2013 At the time of the modification, therefore, under § 108 and this revenue procedure, the HAMP-PRA borrower realizes discharge of indebtedness income equal to any excess of the adjusted issue price of the old mortgage loan (which was satisfied in the deemed exchange) over the issue price of the new (post-modification) mortgage loan. Irs e file 2013 See also § 61(a)(12) and § 1. Irs e file 2013 61-12(c). Irs e file 2013 . Irs e file 2013 02 A HAMP-PRA borrower has the ability to avoid payment of the PRA Adjusted Forbearance Amount. Irs e file 2013 Because the HAMP-PRA borrower has this ability, that amount should not be taken into account in determining the issue price of the new mortgage loan. Irs e file 2013 Because the issue price of the new mortgage loan does not include the PRA Adjusted Forbearance Amount, the PRA Adjusted Forbearance Amount contributes to the excess of the adjusted issue price of the old mortgage loan (which was satisfied in the deemed exchange) over the issue price of the new mortgage loan. Irs e file 2013 . Irs e file 2013 03 On the other hand, the investor has not given up its right to receive the remainder of the PRA Forbearance Amount, because the HAMP program administrator is expected to make those payments on the HAMP-PRA borrower’s behalf by making the PRA Investor Incentive Payments. Irs e file 2013 Because the remainder of the PRA Forbearance Amount is payable in this manner, that remainder is included in the issue price of the new mortgage loan. Irs e file 2013 . Irs e file 2013 04 The Trial Period Conditions are reasonable closing conditions that must be satisfied before the changes to the terms of the mortgage loan become permanent. Irs e file 2013 Therefore, for purposes of § 1. Irs e file 2013 1001-3, the date of the modification is the date of the permanent modification. Irs e file 2013 . Irs e file 2013 05 Unless an exclusion applies, the HAMP-PRA borrower includes in gross income the discharge of indebtedness income described in section 4. Irs e file 2013 01 of this revenue procedure for the taxable year in which the permanent modification occurs. Irs e file 2013 Under certain conditions, however, section 6 of this revenue procedure permits a borrower to report the discharge of indebtedness under HAMP-PRA over the Three-year Period. Irs e file 2013 The qualified principal residence indebtedness exclusion under § 108(a)(1)(E) and the insolvency exclusion under § 108(a)(1)(B) are two exclusions that may apply to the discharge. Irs e file 2013 . Irs e file 2013 06 The PRA Investor Incentive Payment is treated as a payment on the mortgage loan by the HAMP program administrator on behalf of the HAMP-PRA borrower. Irs e file 2013 . Irs e file 2013 07 To the extent that the HAMP-PRA borrower uses the property as the HAMP-PRA borrower’s principal residence or the property is occupied by the HAMP-PRA borrower’s legal dependent, parent, or grandparent without rent being charged or collected, the HAMP-PRA borrower excludes from his or her gross income under the general welfare exclusion the PRA Investor Incentive Payments that the HAMP program administrator makes to the investor in the mortgage loan. Irs e file 2013 This is consistent with Rev. Irs e file 2013 Rul. Irs e file 2013 2009-19, 2009-28 I. Irs e file 2013 R. Irs e file 2013 B. Irs e file 2013 111, which addressed the treatment of Pay-for-Performance Success Payments. Irs e file 2013 . Irs e file 2013 08 To the extent that the HAMP-PRA borrower uses the property as a rental property or holds the property vacant and available for rent, the HAMP-PRA borrower includes PRA Investor Incentive Payments in gross income. Irs e file 2013 If the HAMP-PRA borrower uses the cash receipts and disbursements method of accounting, then the HAMP-PRA borrower includes a PRA Investor Incentive Payment in gross income in the taxable year in which it is applied as a payment on the HAMP-PRA borrower’s mortgage loan. Irs e file 2013 . Irs e file 2013 09 As described in section 2. Irs e file 2013 09 of this revenue procedure, if a HAMP-PRA borrower pays in full the Non-forbearance Portion of the mortgage loan while the loan is in good standing and prior to completion of the Three-year Period, that payment accelerates both the reduction in the remaining PRA Forbearance Amount and the PRA Investor Incentive Payments from the HAMP program administrator. Irs e file 2013 To the extent that the HAMP-PRA borrower is described in section 4. Irs e file 2013 07 of this revenue procedure, the HAMP-PRA borrower excludes from his or her gross income under the general welfare exclusion the accelerated PRA Investor Incentive Payments. Irs e file 2013 To the extent that the HAMP-PRA borrower is described in section 4. Irs e file 2013 08 of this revenue procedure, the HAMP-PRA borrower includes in income in the year of the acceleration the remaining amount of the PRA Investor Incentive Payment. Irs e file 2013 SECTION 5. Irs e file 2013 INFORMATION-REPORTING OBLIGATIONS . Irs e file 2013 01 Under § 6050P, the investor is required to file a Form 1099-C with respect to a borrower who realizes discharge of indebtedness of $600 or more. Irs e file 2013 A copy of this form is required to be furnished to the borrower. Irs e file 2013 . Irs e file 2013 02 As stated in sections 4. Irs e file 2013 01 and 4. Irs e file 2013 04 of this revenue procedure, the HAMP-PRA discharge of indebtedness is realized at the time of the permanent modification of the mortgage loan. Irs e file 2013 . Irs e file 2013 03 An investor is an applicable entity that is required under § 1. Irs e file 2013 6050P-1 and this revenue procedure to issue a Form 1099-C for discharge of indebtedness. Irs e file 2013 Under § 1. Irs e file 2013 6050P-1(b)(2)(F), the permanent modification of a mortgage loan is an identifiable event. Irs e file 2013 Identifiable events determine when Forms 1099-C have to be issued. Irs e file 2013 Thus, the Form 1099-C is issued for the calendar year in which the permanent mortgage loan modification occurs. Irs e file 2013 This rule under § 1. Irs e file 2013 6050P-1(b)(2)(F) applies even if, under section 6 of this revenue procedure, the HAMP-PRA borrower chooses to treat the HAMP-PRA discharge as being realized at the times when the unpaid principal balance of the new mortgage loan is reduced. Irs e file 2013 . Irs e file 2013 04 The investor (or the loan servicer acting on behalf of the investor) reports the full amount of the discharge on the Form 1099-C regardless of whether some or all of the amount is excludible from income under the qualified principal residence indebtedness exclusion, the insolvency exclusion, or any other exclusion that may apply. Irs e file 2013 That discharged amount will generally be the PRA Adjusted Forbearance Amount (which does not include the amounts expected to be satisfied by PRA Investor Incentive Payments). Irs e file 2013 . Irs e file 2013 05 To the extent that PRA Investor Incentive Payments are made on behalf of a HAMP-PRA borrower who is described in section 4. Irs e file 2013 07 of this revenue procedure, the PRA Investor Incentive Payments are excluded from the gross income of the HAMP-PRA borrower, and thus they are not fixed or determinable income to the HAMP-PRA borrower. Irs e file 2013 Under § 6041, these payments are not subject to information reporting. Irs e file 2013 See Notice 2011-14, 2011-11 I. Irs e file 2013 R. Irs e file 2013 B. Irs e file 2013 544, 546. Irs e file 2013 . Irs e file 2013 06 To the extent that PRA Investor Incentive Payments are made on behalf of a HAMP-PRA borrower who is described in section 4. Irs e file 2013 08 of this revenue procedure, the PRA Investor Incentive Payments are includible in gross income as fixed or determinable income in the taxable year required by the HAMP-PRA borrower’s method of accounting. Irs e file 2013 The payment is subject to the information reporting requirements of § 6041, as described in section 3. Irs e file 2013 15 of this revenue procedure. Irs e file 2013 Accordingly, the HAMP program administrator is required to issue a Form 1099-MISC reporting the PRA Investor Incentive Payment. Irs e file 2013 SECTION 6. Irs e file 2013 HAMP-PRA BORROWERS’ REPORTING OF DISCHARGES OF INDEBTEDNESS UNDER HAMP-PRA . Irs e file 2013 01 In general. Irs e file 2013 The HAMP-PRA program began in the last quarter of 2010, and since that time there has been uncertainty about whether the amount of the discharge of indebtedness should be reported in the year of the permanent modification or over the Three-year Period (when the unpaid principal balance on the new mortgage loan is reduced). Irs e file 2013 As a result, some HAMP-PRA borrowers have been reporting the discharge of indebtedness under HAMP-PRA over the Three-year Period. Irs e file 2013 Given the temporary nature of the program and the issuance of this guidance after participation in the program has begun, in the interests of equitable and sound tax administration, HAMP-PRA borrowers may report discharges of indebtedness under HAMP-PRA under the rules in this section 6. Irs e file 2013 A HAMP-PRA borrower may choose to report discharges of indebtedness under HAMP-PRA pursuant to the rules in this section 6 only if the borrower applies the same borrower option under section 6. Irs e file 2013 02 of this revenue procedure consistently to the taxable year of the permanent modification and to all subsequent taxable years. Irs e file 2013 Thus, a HAMP-PRA borrower may not choose a borrower option under section 6. Irs e file 2013 02 of this revenue procedure if a statute of limitations has expired for any of the taxable years that are necessary for consistent application of that option. Irs e file 2013 . Irs e file 2013 02 HAMP-PRA borrower options. Irs e file 2013 A HAMP-PRA borrower may treat the HAMP-PRA discharge as being realized in either of the following ways— (1) One hundred percent of the PRA Adjusted Forbearance Amount at the time of the permanent modification; or (2) One third of the PRA Adjusted Forbearance Amount on each of the first three annual anniversaries of the trial period plan effective date (described in section 2. Irs e file 2013 06 of this revenue procedure), when, as required by the terms of the new mortgage loan, the servicer reduces the unpaid principal balance of the new mortgage loan. Irs e file 2013 If some or all of the reduction in the unpaid principal balance is accelerated (as described in section 2. Irs e file 2013 06 of this revenue procedure) because the HAMP-PRA borrower prepays the Non-forbearance Portion of the mortgage loan, then the HAMP-PRA discharge represented by the amount of the reduction that was accelerated is treated as being realized at the time of the accelerated reduction. Irs e file 2013 . Irs e file 2013 03 HAMP-PRA borrowers who choose to realize the HAMP-PRA discharge at the time of the permanent modification. Irs e file 2013 (1) If a HAMP-PRA borrower chooses to treat the HAMP-PRA discharge as being realized at the time of the permanent modification, then for the taxable year in which the permanent modification occurs, the HAMP-PRA borrower reports on Form 982 the amount, if any, of the discharge that is excluded from gross income and includes in gross income any remaining discharge. Irs e file 2013 (2) If a HAMP-PRA borrower’s mortgage loan was permanently modified under HAMP in 2010 or 2011, and if the borrower was reporting the discharge of indebtedness using the method described in section 6. Irs e file 2013 02(2) of this revenue procedure, then the borrower may change to reporting the discharge of indebtedness using the method described in section 6. Irs e file 2013 02(1) of this revenue procedure by filing a 2012 Form 982 with the borrower’s timely filed (with extensions) 2012 income tax return. Irs e file 2013 This section 6. Irs e file 2013 03(2) applies only if the change to reporting the discharge using the method described in section 6. Irs e file 2013 02(1) of this revenue procedure does not change the borrower’s federal income tax liability (including any change in federal income tax liability due to a change in basis or tax attributes (under § 108(h)(1) or § 108(b))) for any taxable year prior to the borrower’s 2012 taxable year. Irs e file 2013 To make this change, the borrower must— (i) Compute the amount of discharge of indebtedness that would be included in income under § 61(a)(12) or excluded from gross income under § 108, basing the computation of the discharge on the facts as of the year of the permanent modification; and (ii) Report on a 2012 Form 982 the reduction in basis or tax attributes (under § 108(h)(1) or § 108(b)) due to the permanent modification that the borrower would have reported on the Form 982 for the taxable year of the permanent modification, minus any reductions due to the permanent modification that the borrower actually reported on Forms 982 for taxable years prior to 2012. Irs e file 2013 (3) Example. Irs e file 2013 The following example illustrates the application of section 6. Irs e file 2013 03(2) of this revenue procedure. Irs e file 2013 In 2010, B’s basis in B’s principal residence was $330,000. Irs e file 2013 In 2010, B’s mortgage loan on the principal residence is permanently modified under HAMP-PRA. Irs e file 2013 B realized $30,000 of cancellation of indebtedness from the permanent modification, all of which qualifies for the exclusion from income for qualified principal residence indebtedness under § 108(a)(1)(E). Irs e file 2013 The trial period plan effective date also fell in 2010. Irs e file 2013 B’s federal income tax return for 2010 was consistent with B’s reporting this discharge of indebtedness using the method described in section 6. Irs e file 2013 02(2) of this revenue procedure. Irs e file 2013 That is, B’s 2010 return did not include income from discharge of indebtedness under HAMP-PRA, nor did the return contain a Form 982 reporting exclusion of any such discharge of indebtedness. Irs e file 2013 The next year, B reported on line 10(b) of the 2011 Form 982 that B filed with B’s 2011 federal income tax return a $10,000 reduction in basis in the principal residence. Irs e file 2013 For 2012, B chooses to change to reporting the discharge of indebtedness using the method described in section 6. Irs e file 2013 02(1) of this revenue procedure. Irs e file 2013 Thus, B files a 2012 Form 982 with B’s timely filed (including extensions) 2012 federal income tax return, and on line 10(b) of that form, B reports a $20,000 basis reduction in the principal residence ($30,000 basis reduction that B would have excluded from income in 2010 using the method described in section 6. Irs e file 2013 02(1) of this revenue procedure, minus the $10,000 basis reduction that B reported on B’s 2011 Form 982). Irs e file 2013 (4) If a HAMP-PRA borrower reports the entire HAMP-PRA discharge using the method described in section 6. Irs e file 2013 02(1) of this revenue procedure, and if that HAMP-PRA borrower’s mortgage loan ceases to be in good standing during the Three-year Period as described in section 2. Irs e file 2013 10 of this revenue procedure, then some or all of the anticipated reductions in the PRA Adjusted Forbearance Amount will not take place. Irs e file 2013 Because the amount of these anticipated reductions was not included in determining the issue price of the new mortgage loan that, pursuant to § 1. Irs e file 2013 1001-3, the HAMP-PRA borrower is deemed to issue in satisfaction of the old mortgage loan, the issue price of the new mortgage loan was understated. Irs e file 2013 Under these circumstances, the discharge of indebtedness income determined as of the date of the permanent modification will have been overstated. Irs e file 2013 (5) The Service will not challenge a HAMP-PRA borrower who is described in section 6. Irs e file 2013 03(4) of this revenue procedure and who takes the following corrective measures: (i) If a HAMP-PRA borrower included any of the discharge of indebtedness in gross income, the HAMP-PRA borrower may file an amended return that does not include the amount of the discharge of indebtedness that was previously reported as gross income but that, because of the HAMP-PRA borrower’s failure to keep the new mortgage loan in good standing, was not ultimately discharged. Irs e file 2013 The amended return should be for the taxable year in which the income was included (that is, the year of the permanent modification), provided the applicable statute of limitations remains open for that taxable year. Irs e file 2013 (ii) If the HAMP-PRA borrower did not include any of the discharge of indebtedness in gross income (that is, if the HAMP-PRA borrower excluded all of it), the HAMP-PRA borrower may file a new Form 982 that the Service will treat as superseding the earlier Form 982. Irs e file 2013 The new Form 982 will reflect the revised reduction in basis or in tax attributes (under § 108(h)(1) or § 108(b)). Irs e file 2013 The new Form 982 should be the Form 982 for the year of the permanent modification and should be filed with the return for the taxable year in which the HAMP-PRA borrower’s mortgage loan ceased to be in good standing. Irs e file 2013 . Irs e file 2013 04 HAMP-PRA borrowers who choose to treat the HAMP-PRA discharge as being realized on the dates on which the unpaid principal balance of the mortgage loan is reduced. Irs e file 2013 (1) If a HAMP-PRA borrower chooses to realize the HAMP-PRA discharge at the times that the unpaid principal balance on the new mortgage loan is reduced, instead of at the time of the permanent modification, then the HAMP-PRA borrower’s federal income tax returns for the taxable year that contains the permanent modification and for the subsequent taxable years must not treat any of the discharge as being realized at the time of the permanent modification and must treat the entire HAMP-PRA discharge as being realized in the amounts—and at the times—of the reductions in the unpaid principal balance. Irs e file 2013 Except as described in the last sentence of this paragraph, therefore, the income tax return for the year of the permanent modification must include no gross income from—nor report on Form 982 an exclusion of—any amount of the HAMP-PRA discharge. Irs e file 2013 Instead, the HAMP-PRA discharge is included in gross income (or is reported on Form 982 as excluded from gross income) in the subsequent years in which the unpaid principal balance is reduced. Irs e file 2013 If the first such reduction occurs in the year of the permanent modification, however, then the amount of any such reduction is reflected as an inclusion or exclusion on the federal income tax return for that year. Irs e file 2013 (2) A HAMP-PRA borrower who has been using the method described in section 6. Irs e file 2013 02(1) of this revenue procedure may change to the method described in section 6. Irs e file 2013 02(2) but must comply with the consistency and open-year requirements described in section 6. Irs e file 2013 01 of this revenue procedure. Irs e file 2013 SECTION 7. Irs e file 2013 PENALTY RELIEF FOR 2012 . Irs e file 2013 01 The Service will not assert penalties under § 6721 or § 6722 against an investor for failing to timely file and furnish a 2012 Form 1099-C as required by section 5. Irs e file 2013 03 through 5. Irs e file 2013 04 and section 8. Irs e file 2013 02 of this revenue procedure with respect to discharge of indebtedness resulting from HAMP-PRA permanent modifications that take place during calendar year 2012 if the following requirements are satisfied: (1) Not later than February 28, 2013, a statement is sent to the HAMP-PRA borrower containing the following: (a) The HAMP-PRA borrower’s name, address, and taxpayer identification number; and (b) The date and amount of the discharge of indebtedness (as described in sections 4. Irs e file 2013 01 through 4. Irs e file 2013 04 of this revenue procedure) that is required to be reported for 2012. Irs e file 2013 (2) Not later than March 28, 2013, a statement is sent to the Service. Irs e file 2013 It must be in the form of a single statement that separately lists for each HAMP-PRA borrower the information specified in section 7. Irs e file 2013 01(1) of this revenue procedure. Irs e file 2013 The statement should be sent to the Service at the following address: Internal Revenue Service Center Stop 6728AUSC Austin, TX 73301 . Irs e file 2013 02 The Service will not assert penalties under § 6721 or § 6722 with respect to any Forms 1099-MISC for 2012 that sections 5. Irs e file 2013 06 and 8. Irs e file 2013 02 of this revenue procedure require to be filed with the Service and furnished to taxpayers. Irs e file 2013 . Irs e file 2013 03 Section 8. Irs e file 2013 03 and 8. Irs e file 2013 04 of this revenue procedure, below, describes penalty relief regarding Forms 1099-C and 1099-MISC for 2010 and 2011. Irs e file 2013 SECTION 8. Irs e file 2013 SCOPE AND EFFECTIVE DATE . Irs e file 2013 01 This revenue procedure applies to all borrowers, investors, and servicers who participate, or have participated, in the HAMP-PRA, regardless of when the permanent modification occurs. Irs e file 2013 . Irs e file 2013 02 Section 5 of this revenue procedure is effective for Forms 1099-C and 1099-MISC due or filed after January 24, 2013. Irs e file 2013 . Irs e file 2013 03 Because of the effective date in section 8. Irs e file 2013 02 of this revenue procedure, an investor is not subject to penalties under § 6721 or § 6722 on the grounds that the investor failed to timely file and furnish a 2010 or 2011 Form 1099-C as described in section 5. Irs e file 2013 03 through 5. Irs e file 2013 04 of this revenue procedure (or on the grounds that the investor filed or furnished a 2010 or 2011 Form 1099-C that is inconsistent with section 5. Irs e file 2013 03 through 5. Irs e file 2013 04 of this revenue procedure), provided that the investor demonstrates a good faith attempt to comply with the requirements of § 6050P and that the failure was not due to willful neglect. Irs e file 2013 . Irs e file 2013 04 Because of the effective date in section 8. Irs e file 2013 02 of this revenue procedure, the Service will not assert penalties under § 6721 or § 6722 on the grounds of a failure to timely file and furnish a 2010 or 2011 Form 1099-MISC, as described in section 5. Irs e file 2013 06 of this revenue procedure. Irs e file 2013 SECTION 9. Irs e file 2013 DRAFTING INFORMATION The principal authors of this revenue procedure are Ronald J. Irs e file 2013 Goldstein of the Office of Chief Counsel (Procedure and Administration); Shareen S. Irs e file 2013 Pflanz and Sheldon A. Irs e file 2013 Iskow of the Office of Chief Counsel (Income Tax and Accounting); and Andrea M. Irs e file 2013 Hoffenson of the Office of Chief Counsel (Financial Institutions and Products). Irs e file 2013 For further information regarding this revenue procedure, contact Procedure and Administration branch 1 at (202) 622-4910, Income Tax and Accounting branch 4 at (202) 622-4920, or Financial Institutions and Products branch 1 at (202) 622-3920 (not toll-free calls). Irs e file 2013 Prev  Up  Next   Home   More Internal Revenue Bulletins