Find the best financial services for you at: SMARTFINANCESOLUTIONS.NET - Filed BK in 2008, now recieving 1099 for foreclosed home. Do I file it? - I was aware that by foreclosing I MAY recieve a 1099 for the difference. This was one of my deciding factors when debating whether or not to file for bankruptcy. I went ahead an filed in 908, and it was discharged in 1108. The bank was so far behind that it didn't notice for several months and finally foreclosed in 409 I beleive. I just recieved a 1099 for the loss. Do I need to file it? I had been told that a BK would erase any of those debts. Any advice? I'm in VA.