I loaned my son $ 100,000 to start a small construction business. He is doing well enough to take care of his family and pay me interest on the note (9 yrs/AFR). However I doubt if he'll ever be able to pay back any of the principal. Additionally I give him a check for the yearly gift tax exclusion of $ 13,000. I would like to just forgive the loan but it would come out of my lifetime gift tax exemption. Does anyone see another solution ? I understand this is a common problem. Thanks Ron CPA
- posted
14 years ago