Boone & Crockett - 1/27/2024 06:36
BrianFerentz - 1/27/2024 07:04
reformedbanker - 1/27/2024 06:30
Only in my capacity as the banker of a customer being audited... the IRS would just need to see the interest payment on the LOC. The IRS doesn't care a bit if you leverage your business to fund lifestyle. It is business collateral and business debt.
Why is this upsetting you?
Edit: also, my advise above was pay down debt is a strong risk free return to OP's question
I’m not upset but what you are suggesting is fraud. The irs will absolutely discover it if under audit.
You are recommending dangerous conduct that could be very costly.
I suspect Kirks kid has a point here if the IRS wants to do some in depth, forensic accounting. Depends on how much ambition the auditor has. I would not count on saving the interest deduction for my new 40’ Donzi with twin supercharged 504’s I threw on the LOC in an audit. Bet he/she would change that uncaring attitude right quick. In his defense,The now unemployed offensive coordinator catches a lot of grief on this site, but he’s not always wrong.
Save on operating interest or invest in mutual funds?
