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Updated over 6 years ago on . Most recent reply

User Stats

53
Posts
4
Votes
Steven Lewis
  • Hoboken, NJ
4
Votes |
53
Posts

How to properly pay back a LOC for correct write-off

Steven Lewis
  • Hoboken, NJ
Posted

I was blessed to have money gifted to me from my parents from their LOC (line of credit). The LOC comes with a monthly payment which I am looking to pay so I get that tax benefit. I'm looking for advice on the best way to show payment on this loan so I can deduct for taxes. I currently have an S corp and would like to pay that payment through the business. Would it be better to pay it back directly to my parents? Or to pay the lender directly?

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