An Annuity was used as collateral on a loan. Does the borrower include the loan amount as income on their Form 1040?

[IRonMaN]

Do you report mortgage loan proceeds as income on a tax return?  Kinda the same story.  Unless the annuity was cashed, they didn't create any income by the transaction,

[sjrcpa]

Unless it was an IRA annuity.

[Terry53029]

I believe Annuities that are part of an IRA cannot be used as collateral.

[sjrcpa]

It is prohibited. Doesn't mean it hasn't been done.