Imputed interest question.

[Fred Borek]

Is imputed interest for the seller calculated off the entire amount or income received. eg is it taxed on the remaining balance like 200000 with 2 percent tax and 2000 a month payment would be 333 the first month, 330 the second month OR is it like if i pay 2000 a month for 12 months they would pay 2% of that which is 480. 

[Christina Yoon]

Yes. It would follow an amortization schedule which is like your first example -  ($333 in month 1, $330 in month 2 as an example).