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    nabindebnath's Avatar
    nabindebnath Posts: 2, Reputation: 1
    New Member
    		  
    #1

    Nov 5, 2008, 12:28 AM
    Tax on personal loan
    Hello.
    I have taken a personal loan on 141000 which has been deposited in my salary account. And an EMI of 4069 will be deducted through ECS from the same salary account. I have transferred the loan amount to another account.
    Now my question is should I have to pay any tax on the loan amount that has been deposited to my salari account?
    Please advice.
    IntlTax's Avatar
    IntlTax Posts: 831, Reputation: 23
    Tax Expert
    		  
    #2

    Nov 5, 2008, 06:34 AM

    If the transaction is truly a loan and you have to pay the money back, then under U.S. tax law you would not be taxed as though it were income.
    ScottGem's Avatar
    ScottGem Posts: 64,966, Reputation: 6056
    Computer Expert and Renaissance Man
    		  
    #3

    Nov 5, 2008, 06:53 AM

    You need to define this more. Are you talking about a loan against a 401K? What is EMI and ECS?
    AtlantaTaxExpert's Avatar
    AtlantaTaxExpert Posts: 21,836, Reputation: 846
    Senior Tax Expert
    		  
    #4

    Nov 5, 2008, 10:43 AM
    Agreed! Though IntlTax's points are valid, we need a LOT more information before we can properly evaluate your case.
    nabindebnath's Avatar
    nabindebnath Posts: 2, Reputation: 1
    New Member
    		  
    #5

    Nov 5, 2008, 10:58 PM
    Hi,
    Thanks everyone for the responses.I am providing some additional informations below.
    Actually I have taken that personal loan of 141000 rupees.
    EMI -> monthly installment
    ECS -> electronoc clreaing system(atomatically deduct from account)
    I am talking about the income tax(India).
    Please sahre your views.
    ScottGem's Avatar
    ScottGem Posts: 64,966, Reputation: 6056
    Computer Expert and Renaissance Man
    		  
    #6

    Nov 6, 2008, 06:53 AM

    Who did you take this loan from?

    I'm not familiar with India tax laws, but in the US there is no income taxes on a loan nor is there a tax deduction for interest on a personal loan.
    AtlantaTaxExpert's Avatar
    AtlantaTaxExpert Posts: 21,836, Reputation: 846
    Senior Tax Expert
    		  
    #7

    Nov 6, 2008, 08:10 AM
    Nabindebnath:

    This forum addresses U.S. tax issues, not India's tax system.
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