On December 3rd, the U.S. House of Representatives voted to extend the income tax exemption on mortgage debt forgiveness in a short sale or a workout for principal residences. The U.S. Senate has not yet voted on this measure. The Lame Duck session of Congress is currently slated to end on Friday, December 12th.

This income tax exemption expired at the end of 2013. Without immediate action by Congress, distressed homeowners will have to pay tax on "phantom income" from forgiven debt. 

Please urge your Senators to pass the Mortgage Forgiveness tax relief bill now.