SBA loan interest

[HOPE2]

Hello everyone.

Clients received SBA loan during Covid had been Uber driver, now he is on W-2 and we do not have any Sch C so I would like to know what can I do with loan interest he paid in 2024?

Thanks for your help.

[judys3]

I would keep the Schedule C on the return and enter the interest since it is a business loan being paid back or possibly enter this as a negative number on "other income" and label it as SBA loan interest?

[Just-Lisa-Now-]

I think Revenue Ruling 67-12 applies to this, Ive made the adjustment on the Other Income line, no need to dummy up a Sch C.

[HOPE2]

Thanks, what line is the best ?

[HOPE2]

Hi @Just-Lisa-Now- if I enter negative amount on Schedule 1 and mention Revenue Ruling 67-12, would be fine?

Thanks for your help

[Just-Lisa-Now- · Accepted solution]

thats what I did.