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I am a mortgage banker. When determining borrowers income we can gross BAS & BAH up 15% becasue neither are taxable. This increases the gross income of the borrower and their buying power.

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Q: Are entitlements such as BAH considered in your gross income or are they considered re-imbursments.Should BAH be counted when considering Gross income. BAH is not taxable and does not show up on my W2?
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