Re: taxes on debt

Posted by Why Chat (209.240.222.130) on April 14, 2002 at 18:06:05:

In Reply to: taxes on debt posted by Brandon on April 14, 2002 at 16:53:22:

Now you are getting into economics and business accounting procedures. Most banks and cc companies make more money charging off a debt than writing it off. It is sort of like having a gold egg laying goose that you don't want to keep because it has stopped laying,but is still eating (requiring collection resources).If it is written off(killed),the original value is deducted from your net worth,if it is charged off (given to someone else to feed), in the hope it will start laying again you only have a business loss for the current value of an eggless goose.

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