U.S. · Tax forms
1099-C box 6 identifiable event codes.
Why your lender says the debt was canceled, from A to H.
Box 6 of Form 1099-C holds a letter A to H that tells the IRS which "identifiable event" canceled your debt. A is bankruptcy, B is a court-ordered or similar cancellation, C is the statute of limitations, F is a settlement for less than full payment, G is a decision to stop collecting, and H is any other actual discharge. A 1099-C is not always taxable income: Form 982 can exclude it.
Check the Form 982 insolvency exclusion
Result
Identifiable event codes
| Code | Event | Detail from the IRS instructions |
|---|---|---|
| A | Bankruptcy discharge | A discharge in bankruptcy under title 11 of the U.S. Code. A debt discharged in bankruptcy is generally not reported unless the creditor knows it was incurred for business or investment. |
| B | Unenforceable in receivership, foreclosure or similar proceeding | A cancellation or extinguishment making the debt unenforceable in a receivership, foreclosure or similar federal nonbankruptcy or state court proceeding. |
| C | Statute of limitations or filing period expired | Only when the debtor’s affirmative statute of limitations defense is upheld in a final judgment or decision of a court and the appeal period has expired. |
| D | Creditor elects foreclosure remedies that extinguish the debt | Applies to a mortgage lender or holder barred by local law from pursuing collection after a power of sale is exercised. |
| E | Unenforceable under probate or similar proceeding | A cancellation or extinguishment making the debt unenforceable under a probate or similar proceeding. |
| F | Agreement to cancel at less than full consideration | A discharge under an agreement between creditor and debtor to cancel the debt at less than full consideration, for example short sales. |
| G | Decision or defined policy to stop collection | The creditor decides, or has a written policy or established practice, to discontinue collection activity and cancel the debt. |
| H | Other actual discharge before an identifiable event | An actual discharge that happens before one of the events A to G. |
What else is on the form
Box 1 is the date of the identifiable event, box 2 the amount of debt discharged, and box 3 any interest included in box 2. Box 4 describes the debt, box 5 is checked if you were personally liable, and box 7 holds the fair market value of property in a foreclosure or abandonment. A creditor files Form 1099-C when it cancels $600 or more and an identifiable event has occurred. The form is filed whether or not the debtor must report the debt as income.
A 1099-C is not automatically income
Canceled debt is generally income, but the Form 982 instructions let you exclude it in several cases: a discharge in a title 11 bankruptcy case, a discharge while you were insolvent, qualified farm indebtedness, and qualified principal residence indebtedness for debt discharged before 2026. You were insolvent to the extent your liabilities exceeded the fair market value of your assets immediately before the discharge, and the amount you exclude cannot exceed that excess.
Worked example
The Form 982 instructions give this one. You were released from $5,000 of credit card debt. Your assets had a fair market value of $7,000 and your liabilities were $10,000 immediately before. You were insolvent by $3,000 ($10,000 − $7,000), so you check box 1b and include $3,000 on line 2: the other $2,000 stays in income unless another exclusion applies. Put your own numbers in the tool above. For student loans, see the student loan forgiveness tax calculator.
Not every canceled debt gets a form
The instructions list exceptions: no 1099-C for fraudulent debt canceled because of identity theft; no requirement to report interest or nonprincipal amounts such as fees and penalties in a lending transaction; and no form when a creditor releases one debtor while the remaining debtors are liable for the full unpaid amount. Joint debtors on a debt of $10,000 or more generally each get a form for the entire canceled amount.
More form decoders
Other pages in this set: K-1 Box 11 Codes, Form 8949 Column (f) Codes, 1099-MISC Boxes Decoder, 1099-SA Box 3 Codes. The 1099-R box 7 lookup and W-2 box 12 lookup cover the same kind of question for those forms.
Sources
- Instructions for Forms 1099-A and 1099-C (04/2025): Box 6 and the list of identifiable events, exceptions, multiple debtors. Read November 2, 2026.
- Instructions for Form 982 (12/2021): Exclusions from canceled-debt income and the insolvency example. Read November 2, 2026.
IRS pages last reviewed April 30, 2026. The Form 982 instructions are the 12/2021 edition, so check the current Form 982 for years after 2025.
Frequently asked questions
What does 1099-C code G mean?
The creditor decided, or has a defined policy or established practice, to stop collection activity and cancel the debt. A policy of abandoning a debt after a set nonpayment period counts.
What does 1099-C code F mean?
A discharge under an agreement between you and the creditor to cancel the debt at less than full consideration, such as a settlement or short sale.
Do I have to pay tax on a 1099-C?
Not always. Canceled debt is generally income, but exclusions such as bankruptcy, insolvency, qualified farm debt and qualified principal residence debt (discharged before 2026) are claimed on Form 982.
What is the minimum amount for a 1099-C?
A creditor files when it cancels $600 or more and an identifiable event has occurred.
What if the 1099-C is for a debt that is not mine?
The instructions say Form 1099-C should not be filed for fraudulent debt canceled because of identity theft. If you receive one, contact the creditor.
Not tax advice
This page summarizes IRS instructions, mostly written for the people who prepare the form, and is not tax, legal or financial advice. The payer, a CPA or an enrolled agent can confirm what a box or code means for your return. Everything runs in your browser; nothing you enter is sent anywhere.