#loans
Loans
Track and manage business loans, interest, and repayment schedules
The Interest-Free Loan That Isn't: How Section 7872 Imputes Interest on Family and Shareholder Loans
A below-market loan triggers Section 7872, which treats forgone interest as taxable income to the lender even when no cash changes hands. This guide covers the $10,000 and $100,000 de minimis exceptions, the gift tax connection, and how charging the AFR avoids the whole problem.
Car Loan Interest Is Tax-Deductible Again: How the OBBBA $10,000 Above-the-Line Deduction Works for U.S.-Assembled Vehicles From 2025 Through 2028
The OBBBA restores a personal car-loan interest deduction—up to $10,000 per year, above-the-line, for tax years 2025 through 2028—on new U.S.-assembled vehicles financed after December 31, 2024. Mechanics covered include the MAGI phase-out starting at $100K single / $200K joint, Form 1098-VLI reporting beginning in 2026, mandatory VIN entry on Form 1040, and edge cases for refinances, trade-ins, leases, and co-signers.
Section 163(h) Mortgage Interest Deduction in 2026: $750K Cap, Grandfathered Loans, and HELOC Rules
Section 163(h) decides whether your largest Schedule A line is a $14,000 deduction or an $8,500 one. Here is how the permanent $750,000 TCJA cap, the grandfathered $1 million pre-2018 loans, the HELOC "substantial improvement" rule, and the 2026 return of the mortgage insurance premium deduction actually work — with worked examples and the records you need on audit.
Form 4506-T and 4506-C: IRS Tax Transcripts for Mortgage and SBA Lending
A practical breakdown of Form 4506-T, Form 4506-C, Form 8821, and the five IRS transcript types — what mortgage and SBA lenders need before first disbursement, and how borrowers can avoid identity holds, name mismatches, and no-record errors that stall closings.
SSARS 21 Compilations, Reviews, and Preparations: Picking the Right CPA Engagement Without Overpaying for Assurance
A practical guide to AR-C 70 preparation, AR-C 80 compilation, and AR-C 90 review engagements — what each delivers, typical fee ranges, and how private companies match the right tier to lender, surety, and investor requirements without paying for unused assurance.
Loan Covenants for Small Business Borrowers: How DSCR, FCCR, and Tangible Net Worth Decide When a Performing Loan Can Be Called
Loan covenants—DSCR, fixed charge coverage, tangible net worth, and leverage limits—can put a small business borrower in default while every payment is current. A practical breakdown of affirmative, negative, and financial covenants, cure periods, waiver requests, and what to negotiate before signing a credit agreement.
Venture Debt and Recurring Revenue Loans in 2026: A Founder's Guide
How venture debt and recurring revenue loans work in 2026 — pricing in the 10-13% range, warrant coverage of 0.5-1.5%, end-of-term fees, MAC clauses, and when each instrument actually extends runway versus trapping founders before the next equity round.
ASC 326 CECL Explained: Lifetime Credit Loss Estimation for Private Companies, Community Banks, and Credit Unions
ASC 326's Current Expected Credit Loss model requires private companies, community banks, and credit unions to book lifetime expected losses on receivables and loans from day one. This guide covers estimation methods (loss-rate, WARM, vintage, migration, DCF), pool segmentation, reversion approaches, and the July 2025 ASU 2025-05 practical expedient that lets entities skip forward-looking forecasts for current trade receivables.
Section 7872 and the AFR Trap: How an Informal Family Loan Triggers Imputed Interest and Gift Tax
Below-market loans under IRC Section 7872 generate imputed interest at the Applicable Federal Rate, recharacterized as gifts, wages, or dividends depending on the relationship — here's how the $10,000 floor, the $100,000 cap for gift loans, and a written note at AFR keep intra-family, employer-employee, and shareholder loans out of the tax trap.
401(k) Hardship Withdrawals and Plan Loans Under SECURE 2.0: When to Tap Retirement Funds Without Wrecking Your Future
A record 6% of 401(k) participants took a hardship withdrawal in 2025. This guide compares hardship withdrawals, plan loans, and SECURE 2.0 penalty-free distributions—with the actual tax math, deemed-distribution traps, and a decision framework for when to tap retirement funds.
UCC Filings Explained: How Stale Liens Block Your Next Business Loan
A UCC-1 financing statement lasts five years and can block future financing if a lender forgets to file a UCC-3 termination after payoff. This guide covers specific vs. blanket liens, how to search your state's records, and how to force a termination under Article 9.
EIDL Loan Recordkeeping Requirements: What Small Businesses Must Know
EIDL borrowers must maintain records for decades—five years current plus three years after final payoff. This guide covers which documents to keep, SBA audit powers, approved fund uses, and how to build an audit-ready bookkeeping system.