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Newest Member: 2ndtimernd (45746)

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User Topic: Karma is often pretty indirect
sisoon
♂ Member
Member # 31240
Default  Posted: 1:22 PM, August 19th (Tuesday), 2014View ProfileEdit MessagePrivate MessageHomepage

I'm president of our condo association. For the last year or so, we've had a renter who's been a major pain in the ass in general, and she's been very nasty to me, with no consequences.

Turns out she had a 24 month lease, paid for less than half, refused to pay rent for a few months, and moved out with 1 day's warning. Apparently she bought a house. Her landlord - a really great guy - looked into suing her for her back rent, but his lawyer said the cost of litigation would be higher than what he's owed.

I was able to suggest forgiving the debt and generating a 1099-C. That would require her to include the amount of the forgiveness - unpaid rent to the end of the lease - as gross income and pay income tax on the forgiven debt. At this twit's income level, that'll be around 40% and maybe more, including state income tax, and probably amount to $12,000.

It doesn't make up for the way she treated me, but, if my friend actually files the 1099, at least she'll see some consequences for the way she mistreats people, and he'll be able to deduct the loss, so he'll save on his taxes.

It's not really revenge on my part, I think. If she had treated me decently, I would have made the same suggestion. I place a very high value on living up to contracts, and a lease is nothing but a contract.

Not a big deal, but nice to see happen.


fBH (me) - 70 (22 in my head), fWW (plainsong) - 65+, Married 45+, together since 1965
DDay - 12/2010
Recovered, not yet fully R'ed
I share my own experience because it's the only experience I know, not because I'm a good model.

Posts: 10572 | Registered: Feb 2011 | From: Chicago area
IrishGirlVA
♀ Member
Member # 39694
Default  Posted: 1:34 PM, August 19th (Tuesday), 2014View ProfileEdit MessagePrivate MessageHomepage

What I wouldn't give to see her face when that 1099C is delivered to her mailbox in January!

Excellent suggestion and wish I had thought about that for a friend of mine who was dealing with a similar deadbeat renter.


Me, the "B": 42yo
Him, the "W": 38yo
DDay: June 2013
Status: Over

Posts: 348 | Registered: Jun 2013 | From: Virginia
k94ever
♀ Member
Member # 11176
Default  Posted: 3:52 PM, August 19th (Tuesday), 2014View ProfileEdit MessagePrivate MessageHomepage

I didn't known there was such a thing.

I'm going to have to remember this.

Thanks Sisoon.


k9


BS: 56
WS: 53
Betrayed: 23 years
Affairs: 14 (2 lasted 3 months. Rest were ONS)
WS died: 16 May 2011
Do not stay in your hurt forever. Choose to move out of it.

Posts: 6607 | Registered: Jul 2006 | From: Wisconsin
sisoon
♂ Member
Member # 31240
Default  Posted: 5:37 PM, August 19th (Tuesday), 2014View ProfileEdit MessagePrivate MessageHomepage

She hasn't ever responded directly to an email sent by me, by her landlord, or by our manager, so I'd hope she'd ignore it when it arrives.

The IRS will respond to her return documenting her unreported income and delivering a bill for tax due, interest due, and penalty due. Te time to see her when she opens that envelope.

The neat thing is that the debt forgiveness is so easily documented - signed lease, cleared checks, correspondence. There's no way she can deny the forgiveness.

But it's out of my hands.


fBH (me) - 70 (22 in my head), fWW (plainsong) - 65+, Married 45+, together since 1965
DDay - 12/2010
Recovered, not yet fully R'ed
I share my own experience because it's the only experience I know, not because I'm a good model.

Posts: 10572 | Registered: Feb 2011 | From: Chicago area
Topic Posts: 4

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