home improvement?

If there are still tax credits for whatever you plan to do, the source of the funds is 100% irrelevant to the tax credit.

No, you do not have to take out a loan. Home improvements are not tax deductible, there is almost never a tax benefit, other than for some energy efficient items.

You csn pay however you want to. But what kind of tax benefit do you think you're going to get

If you borrow money you get a tax benefit by writing off the interest on the loan. The improvement will generate a higher property tax bill if it is something that requires a building permit and you will get a tax benefit by deducting the higher property tax. In both cases you are still out money. If you can pay from savings you will be bucks ahead because the interest will be way more than the tax benefit.

The only extra benefit you get from financing home improvements is the small interest deduction, and that's only if you itemize instead of taking the standard deduction, and with the standard deduction now $12,000 (single) and $24,000 (married filing jointly), fewer people will be itemizing.

Other than that, you get the same benefit anyone else gets, and that's the right to add the cost of home improvements to the cost basis of the property, so that any potential profit down the road will be reduced.

Get a receipt .

You need council from a Tax Law Expert, a CPA, an investment specialist or Lawyer.

The Democrat's generally pass the laws, and take them away in order to influence voters.

The IRS does not like Ca$h Deals, No proper paper trail, too easy to commit tax fraud. (Tax evasions, Money Laundering, et cetera)

Even the energy credit for new windows and A/C units is gone.

You don't get a tax benefit for home improvements. With the new tax law, home equity interest isn't deductible anyway and personal loan interest hasn't been for many, many years. No reason to take a loan as long as you have adequate savings.

You don't get a tax benefit except on mortgage loan interest...or stuff where you get tax credits like maybe energy efficient stuff.

You can't just spend $4000 in cash for Carpet and get a tax break.