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It doesn’t matter why they waited so long to send a Form 1099-C.Your name is not on the Form 1099-C and it is not a joint debt, and you are not filing a joint return with your husband at this point.If surviving spouses are liable for “community debt,” the reasoning goes, they are required to report income from the cancellation of debt as well.The IRS instructions for canceled debt in Publication 4681, however, do not say anything about community property rules.The Federal Deposit Insurance Corporation estimates 17 million Americans have no bank accounts – so plenty of people do it.

The catch, she says, is they typically tack on an extra 15 percent as security, then return it to the card later if there are no problems. ” asks Greg Mc Bride, senior financial analyst for Some people worry about whether they may be considered liable for their spouse’s debt, especially if they lived in a community property state at the time of the death.The community property states are Arizona, California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington, Wisconsin and Alaska – an opt-in community property state.Prince admits it was a great relief to know she shopped at Target using cash and is unburdened by what’s hanging over the heads of tens of millions of others who paid using plastic. “How would you even go about purchasing a plane ticket with cash? One tactic for buying online without a credit or debit card involves using the online service Pay Pal – although consumers must provide that company with bank account information.

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She says she has shifted some online purchases to local stores and finds that being in her community makes it easier to keep to a cash-based spending plan. Another means of spending without connecting your identity to your transactions is to use prepaid cards branded by a major credit card issuer such as Visa or Master Card.

He passed away June 2011, and he was insolvent at that time. The “event code” listed on Form 1099-C is “E.” Do I have to do anything with this?