Looking for some clarity - I received a 1099A from my mortgage service provider in 2012 in regard to the foreclosure of my home, balance outstanding 106,000.00 - FMV 61346.00

they told me today they will NOT be sending me a 1099C which I've been waiting for to file 2012 taxes - then.....

in 2013 I received a 1099C from the second mortgage holder - cancellation of debt 60,000.00

Not sure if the 2007 mortgage debt forgiveness act will apply to me and which year to file which forms - I've read all the IRS pubs in regard to insolvency

also the original tax basis in my home - bought in 2002 - is actually 0 since my Dad quit claimed the deed to me - Dad bought the house for me while in the process of a divorce, once the divorce was final - I paid off the mortgage on the home so Dad could quit claim the deed to me and then took out a mortgage to repay Dad the difference he had put out on my behalf to buy and remodel it - so what is my real tax basis? both mortgages amounting to 166,000.00 or 0 plus improvements?

Sounds complicated but it really isnt - I'm sure the IRS may have a field day with it tho