3 tips for tax-smart intrafamily loans
Abstract: At one time or another, you may wish to provide financial assistance via a loan to your children or other family members. Whatever your reasons for lending to a family member, it’s important to structure and document the loan carefully. You may trust these loved ones implicitly but, if you handle things too informally, you may bring about some unpleasant tax consequences. This article offers three tips for making tax-friendly family loans.