IRS Form 1099-A

Form 1099-A: Acquisition or Abandonment of Secured Property

Report information about the acquisition or abandonment of property that is security for a debt.

Filing Deadline

January 31 (to recipient) / February 28 (paper) or March 31 (e-file) to IRS

Copies Required

Copy A to IRS, Copy B to borrower, Copy C for lender's records

Related Form

May need to file 1099-C if debt is canceled

Overview

Form 1099-A is used by lenders to report the acquisition or abandonment of property that secures a loan. This typically occurs when property is foreclosed, repossessed, or voluntarily abandoned by the borrower.

The form provides information the borrower needs to determine if they have a gain or loss on the property disposition, and whether they may have cancellation of debt income.

Who Must File

Required Filers

•Lenders who, in full or partial satisfaction of a debt, acquire an interest in property that is security for the debt
•Lenders who have reason to know property securing a debt has been abandoned
•Required regardless of the fair market value of the property or balance of the debt

Exceptions & Notes

✕Not required if the property is tangible personal property worth $500 or less
✕Not required for transactions handled by a qualified person under IRC section 6050J

Form Structure & Instructions

Here's what information is required in each section:

Lender and Borrower Information

Basic identifying information for both parties

Box 1

Date of Lender's Acquisition

Date property was acquired or abandoned

Box 2

Balance of Principal Outstanding

Outstanding loan balance at acquisition/abandonment

Box 3

Fair Market Value

FMV of property on the date in Box 1

Property and Loan Details

Description and classification of the secured property

Box 4

Fair Market Value

Check if FMV in Box 3 was determined by appraisal

Box 5

Property Description

Brief description of the property type

Box 6

Borrower Personally Liable

Check if borrower was personally liable for repayment

Important Filing Notes

Foreclosure and Abandonment

File when you foreclose on property or when you know the borrower has abandoned the property. Abandonment includes when the borrower returns the keys or similar action.

Debt Cancellation

If you also cancel $600 or more of debt, you must also file Form 1099-C. You may file both forms or combine the information on Form 1099-C.

Fair Market Value

Box 3 must show the FMV of the property on the date of acquisition or abandonment. If you obtained an appraisal, check Box 4.

Personal Liability Matters

Box 6 affects whether the borrower has cancellation of debt income. Check the box only if the borrower was personally liable.

Additional Resources

Form 1099-A (PDF)

Official IRS Form 1099-A

Instructions for Forms 1099-A and 1099-C

Complete filing instructions

Publication 4681

Canceled Debts, Foreclosures, Repossessions, and Abandonments

Simplify Your 1099-A Filing Process

Let us handle the complexity of reporting foreclosures, repossessions, and property abandonments while you focus on your lending business.

Get Started Today