Thesearcher
Registered User
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Hello, I'm lending my partner approx. 40% the value of a property she's buying with a loan agreement drawn up by a solicitor.
With Revenue as long as I charge a nominal interest rate it avoids CAT / gift tax issues. She will be getting a mortgage on the property in a year so the loan will be for max 2 years. Between savings and deposit accounts most bank deposit rates are .01% and the max savings rate is .05% PA. I've worked out the average to be approx .0275% which would be €440 PA interest. Do you reckon this will cover revenue should they question it?
With Revenue as long as I charge a nominal interest rate it avoids CAT / gift tax issues. She will be getting a mortgage on the property in a year so the loan will be for max 2 years. Between savings and deposit accounts most bank deposit rates are .01% and the max savings rate is .05% PA. I've worked out the average to be approx .0275% which would be €440 PA interest. Do you reckon this will cover revenue should they question it?