Private Lending & Conventional Mortgage Advice
Market News & Data
General Info
Real Estate Strategies
Short-Term & Vacation Rental Discussions
presented by

Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Updated over 7 years ago on . Most recent reply

How does a private lender report their income for tax purposes?
Hi BP members.
As a private lender, how do you report the profit you make for tax purpose?
For example, I loan 50k and after 3 months I get back 58.5k in return (50k loan, 5 points = 2500 and 12% interest = 6000).
How do I report the 8500 as income? Is there any tax form to fill out?
Does the title company report the amount to the IRS?
This is my first time as a private lender, I want to make sure I don't miss any thing.
All comments and adviseven are greatly appreciated.
Thanks,
Lana