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Level 6
posted Mar 15, 2021 11:58:47 AM

Interest Expense

I have two pieces of heavy equipment which will be capitalized and depreciated. A loan was obtained to buy the equipment.  Can the interest on the loan be expensed in the year it was paid? Thanks 

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1 Best answer
Expert Alumni
Mar 15, 2021 12:26:31 PM

Yes, interest on a business equipment loan can be expensed in the year it was paid.

 

Enter it in the Other Common Business Expenses interview of Business Expenses.

 

See the following screenshot examples of what the interview questions look  like:

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2 Replies
Expert Alumni
Mar 15, 2021 12:26:31 PM

Yes, interest on a business equipment loan can be expensed in the year it was paid.

 

Enter it in the Other Common Business Expenses interview of Business Expenses.

 

See the following screenshot examples of what the interview questions look  like:

​​​​​​​

 

 

Level 6
Mar 15, 2021 12:37:57 PM

Thank you. Greatly appreciated.