Mortgage Debt Forgiveness
Mortgage debt forgiveness and its tax consequences are explained in the IRS publication at the bottom of this page . It explains key elements of the Mortgage Forgiveness Debt Relief Act of 2007 which expired December 31, 2013. Congress has yet to renew it for 2014.
If you are imminently in danger of loosing your primary residence because you can’t make the mortgage payments, it would be to your advantage to act now before this opportunity is lost. Consider your options and consequences of each action you can take.