Title; just looking for a general discussion.

  • ManyThingsLittleTime@alien.topB
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    10 months ago

    The interest paid against a loan would be categorized as an interest expenses on your P&L. That would be captured on your tax filing and would reduce your taxable income by the amount of interest paid out in that tax year. It doesn’t matter who the loan was from for that to happen. You can make a loan from yourself to the business and charge the business a reasonable interest rate or the loan could be from anyone or business.