I just want to provide some clarification here.
Borrowed money is your money and you can spend it or apply it, at tax time, any way you want to
That statement depends on which side of things you're looking at and dealing with. Generally speaking, borrowed money is not your money. It never was, is not now and never will be. Therefore, borrowed money is not reported on your tax return as income.
However, what you spend that borrowed money on very well may result in a reduction in the tax liability on the money that *is* your money. This thread is a good example of that. So long as the borrowed money is spent within the limits (if any) allowed by the loan agreement, then for tax credit and deduction purposes you treat it as your money. But for income reporting purposes, it's not your money and does not get reported as income on the tax return.
Eventually, you'll pay that money back using money that "is* your money to pay it back with a few years down the road.
*They who claim to understand the situation and all aspects of it, are obviously not paying attention.*
