Posted by eric on May 03, 2004 at 18:41:15:
Borrowed money is not income, and therefore not taxed.
Is Borrowed Money Taxed as Income? - Posted by andy_pa
Posted by andy_pa on May 02, 2004 at 16:12:36:
This past week I was given the opportunity to buy several properties at a discount.
The homes are already sold on Land Contracts at 14% interest and at prices below appraised value. I would be getting the deeds, contracts and any other appropriate documentation.
I can purchase the homes at prices below what the land contracts were sold at.
I can get money at 9% interest and intend on borrowing more than needed for the actual purchase so that I can walk from closing with a big fat check. In essence letting the occupants of the homes pay off my loan.
My question is: Is this money taxed? Or is the borrowed money I get at closing, all mine?
Thank you.
andy_pa
acmooser@yahoo.com
Re: Is Borrowed Money Taxed as Income? - Posted by JOHN K HASLACH, CPA MST
Posted by JOHN K HASLACH, CPA MST on May 12, 2004 at 15:56:29:
It could be income if and when 0you don’t pay it off.