1099-c

[bus5ter]

What is the name of your state (only U.S. law)? CA

My mother past away in January 07. This year we recieved a 1099-c for one of her credit card, that had about 8000.00 dollars on it. I don't understand how they can turn a credit card into income. How do you justify a dead person making income. Do we have to file taxes and claim this income. After her death her final taxes were completed in April of 2008

 

[LdiJ]

What is the name of your state (only U.S. law)? CA

My mother past away in January 07. This year we recieved a 1099-c for one of her credit card, that had about 8000.00 dollars on it. I don't understand how they can turn a credit card into income. How do you justify a dead person making income. Do we have to file taxes and claim this income. After her death her final taxes were completed in April of 2008

No, you do not have to file a tax return for her.

As far as how it can be turned into income? Well, she had use of 8000.00 of the credit card company's money, which she did not pay back...that's how it becomes income.

 

[davew128]

How do you justify a dead person making income.

You do realize that income doesn't just happen from working, right? I am assuming your mother's estate was non-existent, therefore there is no filing here.