4 ms·
Borrowing against illiquid assets should be considered a taxable event. Seems like this would entirely fix the loophole.
by thethimble 10mo ago
Borrowing against illiquid assets should be considered a taxable event. Seems like this would entirely fix the loophole.
- ch4s3 10mo agoSo every small business loan should be a taxable event?
- dzhiurgis 10mo agoYou pay taxes when you are paying off your loan...
- tenuousemphasis 10mo agoReally? What taxes?
- Windchaser 10mo agoRather, you pay taxes on the income you use to repay the loan. Plus you pay the interest on the loan. This basically defers the taxes to a later date and charges you interest for 'em. Which might be worthwhile, depending on how quickly and reliably your capital is growing.
- xjm 10mo agoOnly if you pay it off with taxable income. If you have a lot of assets you can just refinance your loan with more debt.