I provided a close friend of mine a loan to help his company through Covid-19 times. The loan has an annual interest rate of 6%. Am I able to deduct the loan amount from my taxes?
Am I able to deduct the loan amount from my taxes?
No. It is not an expense as you are expecting payback. If your friend defaults - depending on jurisdiction - you may take the loss in as capital gains loss (I.e. to offset capital gains), but as it is now I don't see a reason on why this would count as a write off. It is not written off. It is a performing loan.