What if the information on Form 1099-A is incorrect?

If you find mistakes on Form 1099-A, such as wrong fair market value or loan balance, then you need to contact the lender and ask for a corrected form. You must not file your taxes until you have accurate information.

US Tax Forms

What is IRS Form 1099-A?

By Varun Gupta |Last Updated: January 5, 2026

If you used a property to secure a loan and it was foreclosed, repossessed, or abandoned, you may receive Form 1099-A. Form 1099-A is a tax form used to report the acquisition or abandonment of a secured property. It is filed by the lender and used by the borrower to compute their tax liability.

The IRS uses the information provided on the Form 1099-A to check if the borrower has any tax liability because of the transaction. Keep reading this blog to learn more about how to use Form 1099-A, its purpose, and much more.

Varun Gupta(Tax Expert)

Mr Varun is a tax expert with over 13 years of experience in US taxation, accounting, bookkeeping, and payroll. Mr Gupta has not prepared and reviewed over 5000 individual and corporate tax returns for CPA firms and businesses.

Frequently Asked Questions

IRS Form 1099-A is issued by a lender when your secured property, such as a home, land, or business property, is foreclosed, repossessed, or abandoned. The form reports main details like acquisition date, loan balance, property's fair market value, and the borrower's liability. It helps calculate gain/loss and any possible taxable canceled debt.

No, you don't need to file Form 1099-A on your own. The lender or financial institution will file it with the IRS and provide you with a copy of it. You only need to use the information from the form while preparing your tax return.

Yes, canceled debt may be taxed as ordinary income, provided if you were personally liable for repayment (Box 5 checked). If not personally liable, you typically don't need to report canceled debt. However, there are some exceptions, like exclusion for qualified principal residence indebtedness.

You must receive Form 1099-A from your lender by the 31st of January of the relevant year after your property was foreclosed, repossessed, or abandoned.

If you think that you should have received Form 1099-A but you haven't, then contact your lender right away to request a copy. You will need this form to calculate gains, losses, or taxable income from the transaction accurately.

What is IRS Form 1099-A?

Frequently Asked Questions