Entering interest earned on private loan and entering interest paid on monies borrowed to make the loan

[Roseyrocket]

Borrowed money from our broker and in turn lend it out to relative as an interest bearing loan to him.  2 part question: (A) where do I enter the interest received from relative? (B) where do I enter the interest expense I pay the broker for the loan?

[PaulaM · Accepted solution]

Enter the interest received as if you received a 1099-INT form.

• In your open return, select My Account
• Tools
• Topic Search
• Type '1099-INT in the box, then select GO

For the investment interest paid (criteria needs to be met and there are limitations):

• In your open return, select My Account
• Tools
• Topic Search
• Type 'investment interest deduction, form 4952' in the box, then select GO