Question by Independent_guy: Basic accounting question – is a loan shown as income during the year the company (Inc.) borrows the money?
Hi All, treatment diagnosis
When a company (corporation) gets a $ 100, dosage 000 loan, is the loan shown as a loan or INCOME in the company’s tax return/tax filing? THANKS.
Best answer:
Answer by yah0o.yehey
i dunno about tax return/tax filing thing but loans and payables are shown in the liability side in the income statement 😀
Know better? Leave your own answer in the comments!
A loan is mostly a balance sheet entry. The only thing that hits the income statement is the interest expense occurring from the loan.