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No the borrowed money would not be taxable income to you that you would report on your 1040 federal income tax return as income in the year that the amount is borrowed.

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14y ago

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Do you have to pay taxes on money borrowed against paid up life insurance?

Borrowed money is not taxable.


What is The taxable portion on the loan?

None of of the borrowed money would be taxable income to you when you receive it.


Is borrowed money taxable?

Money that is borrowed is not taxable. If you borrow it and don't pay it back, it can be classified as income and be subject to income tax. If you borrow money and are not being charged interest, the government will consider the cost of interest to be income that is taxed.


Is Term life insurance money taxable?

In the US, the money is not taxable if the beneficiary is an adult.


You received 10000 in cash out refinance is that subject to federal tax?

No. Borrowed money is never taxable. But just so you understand...thats because it's borrowed money...it hasn't been earned yet! You still owe it back.


Why does Iraq owe the US money?

because they borrowed money from US to pay for war stuff


Are home equity loans taxable?

Home equity loans are generally not taxable, as the money borrowed is considered a loan and not income. However, there are certain circumstances where the interest on a home equity loan may be tax deductible.


Name two ways that the US constitution borrowed from the state constitutions?

they borrowed money and they worked together


How did the US raise the money to fight the Civil War?

They borrowed money form France and Spain.


Why the interest on a loan is a business expense and a tax deduction but the principal payments are neither?

Because the princial payments are your simply returning the money you borrowed. WHEN YOU BORROWED THE MONEY, IT WAS NOT TAXABLE INCOME, RETURNING IT THEN CANNOT BE TAX DEDUCTIBLE. (Or every year I would borrow an amount say equal to my taxable income from all sources from someone/thing (bank, brother, friend who I lend the same amount to at the same time), and pay it back the next day...creating a deduction, and eliminate all my taxable income from all other sources).


What is the interest and the total amount of money that the US government has borrowed known as?

The National Debt


What is the interest and total amount of money that the US borrowed?

either surplus or deficit :p