 TITLE: Do You Have to Pay Income Taxes on Personal Loans? CONTENT: Prepare for Tax Time Throughout the Year\n----------------------------------------\nWhile you may only file one annual tax return, tax planning is a year-round process. Part of this involves knowing how your actions can increase your taxable income and corresponding tax bill, or lead to deductions that can lower your taxable income and payments. Personal loans generally don't play a large role in tax planning, as taking out and repaying a loan generally won't impact your taxes. Still, keep exceptions in mind, especially if one of your debts is forgiven or discharged. END