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Business & farm
Why wouldn't the shareholder repayment of a short term loan to cover expenses reduce the income reported for the tax period? The loan is not income & when repaid not an expense, however the use of the loan monies to pay expenses is recorded as such ie: rent, utilities, payroll etc. (interest for a loan would be an expense, but as the shareholder you're not going to charge interest (a lending bank otherwise would)
‎September 3, 2019
5:11 PM