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I am no expert but how can you reduce your income tax with debt? I thought only companies could include their debts into their global accounting, not individual

• zo1 5y ago
  Interest paid on debt is seen as an expense. In some tax codes (like in SA) expenses like that offset your taxable income as a private entity. To be fair the lines get blurry because tax codes like to tax individuals differently to business entities. E.g individuals get taxed on mostly gross profit (income) whereas companies get taxed on net profit after expenses. IMHO the whole thing would probably be filled with less gaps if we just relied on one of the two or unified them.