Income

Posted By: JUST CALL ME CRA

Income - 01/25/11 02:48 PM

When the borrower's income is business income what figure do you use. Our LO's are accustom to using "revenue" for CRA. But I am thinking that it should be net income plus depreciation if it is for HMDA. Please advise.
Posted By: JUST CALL ME CRA

Re: Income - 01/31/11 03:24 PM

Is this just a really dumb question, or is everyone puzzled by it?
Posted By: Dan Persfull

Re: Income - 01/31/11 03:56 PM

What type of business income?

Sole proprietorship?

Rental income?

Distributions?

Paid Officer Salaries?

You use the income the applicant received from the business entity.
Posted By: JUST CALL ME CRA

Re: Income - 01/31/11 06:37 PM

The case in point was a sole proprietorship.