No forgiving. Forgiveness implies someone did something wrong. These debts are illegitimate and should never have existed in the first place. These debts are immoral, if anyone needs forgiving it is the banks.
We are not forgiving debts, we are abolishing them.
Hi everyone. I want to assure you all that we are aware of the tax implications. We are working with a pro-bono tax lawyer and have called the IRS several times. The IRS informed us that we do not meet the requirements to file a 1099-c (we are not a bank, credit union, etc.)
Our tax lawyer has written some technical langue for our website. The bottom line is that we will be purchasing debt of people who are most likely insolvent and if you are insolvent there is no tax implications. Period. Even if they are not insolvent the chain of events that would have to take place to result in this counting as taxable income is highly unlikely. It's not impossible, but it's very very very (lots more verys) unlikely.
The long answer is much longer and more technical but rest assured, we are aware of the tax implications and it's not a problem.