So I just finished talking to NAB for 2 hours ...

NAB used the portfolio as part of servicing when I refinanced with them not more than 2 months ago.

 

Perhaps. It may not have helped your servicing much.

Generally for investment income you can add 80% of the dividend income shown in your tax returns over 2 years or a deeming rate over the capital value. Usually only with major companies and managed funds.

If dividends are 5% and margin loan gearing is 50% and margin loan interest is 8% and all the stocks are acceptable it's not going to add a great deal of extra income to the calculator.

 

Interest is capitalised for the margin loan portion of my portfolio yet NAB still counted it against my servicing. Not 100% sure if the income was considered but I suspect it wasn't. It was a condition of the refinance that my entire portfolio was paid out.
Luckily I was able to control the funds so holding off from paying down the debt until absolutely necessary. dodged the bullet again going with CBA this time as they excluded the margin loan from the portfolio. Perhaps as the margin loan is also with them?