If you received money from a banking institution, like a Revolving Credit loan, what is the procedure regarding that income? Do you only declare the interest on the loan as an expense or do you declare the amount received as income as well? And under which category will income like that fall?
The money received as the loan will not be taxable as it is capital in nature.
If the loan was used in the prodcution of income or in a trade or for farming purposes, the interest on the loan may be claimed. Depending on what the loan was used for, there the interest should be claimed. i.e. if the loan was for farming, the interest can be claimed in the farming section.
Hope this answers your question.
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