Find the best financial services for you at: SMARTFINANCESOLUTIONS.NET - How could i avoid the bankruptcy and exclude the income tax of 1099-c? - i have recived a 1099-c from my mortgage company which is cancelation of debt,because i did the deed in lieu of forecloser. now i have to pay the tax to irs,then i went to a cpa to eliminate the tax but my cpa says to do the bankruptcy and my debt is $104000.but i dont have any credit card debt,so if i do the bankruptcy is all my credit card account will close or not?please give me some advice ,what should i do now?and i dont have money to pay the tax.i dont know what is good for me. -