People think that they have been able to achieve a huge saving of money when they get credit card debt forgiveness from their credit card companies. Yes, it is right that you will only be required to pay an amount much less than your outstanding debt. But, your liability associated with the particular credit card for which you secured debt settlement does not end there. The Internal Revenue Service (IRS) will be taxing you for the amount you received as debt forgiveness. This is because your credit card company will notify the IRS of the debt forgiveness received by you.