Are credit lines given on credit cards and loans (auto, short term, etc) considered [taxable] income when filing your [1040] federal income taxes?
2007-01-02 14:14:29 · 6 answers · asked by chanteuse87 5 in Business & Finance ➔ Taxes ➔ United States
Sorry, only interest that is deductible is home and student loans.
2007-01-02 14:16:49 · answer #1 · answered by chelle8079 2 · 0⤊ 0⤋
Credit cards and loan proceeds (i.e. the money you get from them) are NOT income, UNLESS you default on the debt and are "forgiven" the debt by your lender. If they forgive any outstanding balance (i.e. they tell you they won't collect from you and close the accounts), then that money IS considered income and reportable on your tax return.
2007-01-02 22:51:25 · answer #2 · answered by dugmor01 1 · 1⤊ 0⤋
No, credit lines and loans are not income.
2007-01-02 22:16:22 · answer #3 · answered by TGB 2 · 1⤊ 0⤋
No its a loan. Its not earned income you borrowed it.
2007-01-02 22:18:10 · answer #4 · answered by Daniel H 1 · 0⤊ 0⤋
do they pay you money - nope
they lend you money that you have to pay back - therefore it is not income
want to keep your entire paycheck? (less insurances)
www.fairtax.org
support the Fair Tax - Make the IRS go away!
make April 15th just another day!
2007-01-02 22:17:22 · answer #5 · answered by tomkat1528 5 · 0⤊ 1⤋
No. It's not income, it's debt.
2007-01-02 22:15:54 · answer #6 · answered by Privratnik 5 · 3⤊ 0⤋