However, according to yours financial situation, their taxation strategy is more

Some good guidelines are perhaps not collateralizing loans that have tax-exempt securities; not to buy taxation-excused ties with the mortgage proceeds; and you may placing borrowed funds to the an alternative membership that’s not related which have income tax-excused bonds.

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  • Even although you utilize the financing to find accredited securities, your collection comes with tax-exempt securities, this might head brand new Internal revenue service to disallow part of the attract expenses.