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New Member
posted May 31, 2019 8:35:55 PM

Loaned money from 401k do i have to claim this loan on my return?

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1 Best answer
Expert Alumni
May 31, 2019 8:35:56 PM

If you took out a loan from your 401(k), you do not have to report it on your tax return.

Interest paid on such a loan is not tax deductible.

2 Replies
Expert Alumni
May 31, 2019 8:35:56 PM

If you took out a loan from your 401(k), you do not have to report it on your tax return.

Interest paid on such a loan is not tax deductible.

New Member
May 31, 2019 8:35:59 PM

The deductibility of home interest depends on the collateral for the loan, not on how you spend the proceeds. Since the 401k, not the home, secures the loan, it's not deductible.