A 1998 Tax Court case has focused attention once again on the income tax consequences of mortgage foreclosure transactions. Although the courts have not been entirely consistent in handling the calculation of gain or loss and any discharge of indebtedness income, the rules governing recourse debt have been interpreted fairly consistently in recent years.
"Gain on Foreclosure of Property,"
Agricultural Law Digest: Vol. 9
, Article 1.
Available at: http://lib.dr.iastate.edu/aglawdigest/vol9/iss12/1