There are numerous things to make this proposal reasonable.
Count as income depending on amount of loan, nature of collateral, and usage of the loaned money.
A loan taken out against primary residence used for purchase of same residence under a million dollars? Not applicable. Proceeds used for education, within reasonable limits? Not applicable.
When a loan is taxed as income, provide for tax credits upon repayment reconcile ultimate use of “real” income. That way you avoid the “double tax” compliant they keep whining about.
I find the tax loans approach ultimately the most workable approach to close the loopholes.
I had to take an insane amount of loans out to get my nursing license. I’ll be paying them off for over a decade. I don’t like this idea
There are numerous things to make this proposal reasonable.
Count as income depending on amount of loan, nature of collateral, and usage of the loaned money.
A loan taken out against primary residence used for purchase of same residence under a million dollars? Not applicable. Proceeds used for education, within reasonable limits? Not applicable.
When a loan is taxed as income, provide for tax credits upon repayment reconcile ultimate use of “real” income. That way you avoid the “double tax” compliant they keep whining about.
I find the tax loans approach ultimately the most workable approach to close the loopholes.