A shareholder loan that is for the purposes of acquiring a personal residence does not have to be included in the shareholder's Net Income For Tax Purposes, provided he has received the loan because he is an employee of the corporation.

Question

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If a shareholder receives a loan from a corporation for the purpose of acquiring a personal residence and the loan is received because of their employment, it may qualify for an exception under tax rules, thus not needing to be included in the shareholder's net income for tax purposes.

A Shareholder Loan That Is for the Purposes of Acquiring