What if I borrowed money from someone and had to pay them back? Would that be deductible? And if so what category?
FlyFin User • Multi professional
Generally, only the interest portion for certain types of loans are tax-deductible. This includes the interest on business vehicle loan, Home mortgage interest, student loan interest, and the interest on some business loans. However, if you have an interest expense which is partly for business and partly for personal purposes, divide the total cost between the business and personal parts. You can deduct the business part on Schedule C of IRS Form 1040. In the FlyFin app, you can mark it as a deduction and we will include the interest portion at the time of tax filing.
Dixon is one of the best tax experts from the United States. He has an experience of 28 years in the field of corporate finance. Before FlyFin, Dixon had served as the Tax Head at KPMG, NJ.