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Business, 16.02.2021 02:40 tylermdons

John was having difficulties making a payment on a loan to a business creditor and the creditor is willing to forgive part of the balance of $250,000 remaining on the loan. Prior to any forgiveness of debt, John listed assets worth $500,000 and liabilities of $550,000. What is the maximum amount the creditor can forgive without John having to recognize any taxable income

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John was having difficulties making a payment on a loan to a business creditor and the creditor is w...
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