Dec 22 2007
Forclosure Tax Relief Bill Signed
President Bush signed a bill into law yesterday (Dec. 21) to give a little bit of wiggle room for folks facing a foreclosure. The bill allows the debt forgiven by lenders to be counted as a loss to the lenders and is no longer considered taxable income to the borrower. The bill is in effort to not pour salt on the wounds of borrowers who are facing rising mortgage costs from resetting ARM interest rates.
If you do end up having your home foreclosed on, at least you wont have the IRS breathing down your neck. Here is a video of the news story from CCTV.