I bought out my partner with "owner financing." Is the interest I am paying on the loan deductable?
I own an S corporation and recently bought out my business partner. The payment was in the form of owner financing. I pay a capital payment each month and then interest on the outstanding balance at the end of the year. Can I claim the interest as a business expense/tax deduction?
Sound tax and accounting procedures are essential to growing a financially secure company. But multiple hiccups threaten the accuracy of these processes, elevating the risk of compliance penalties and reputational harm.