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    7 Replies Latest reply on Oct 2, 2016 6:21 PM by moderator_lisa

    Is there a legal way to forgive a company loan to myself?

    mggpatt Wayfarer

      I have kept strict records of money the company (a small C Corp) has used to pay my personal bills over the years, about $40K. I see it as a loan to me from the company.

       

      Is there a legal way for the company to "forgive" or write off that loan? I understand I would probably get a 1099 as a result showing income and pay personal taxes on that but can I do it?

       

      Thanks!