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On August 1, Mike lends $100,000 to Don. No other loans are outstanding between the parties. Avoidance of federal taxes is not a principal purpose
On August 1, Mike lends $100,000 to Don. No other loans are outstanding between the parties. Avoidance of federal taxes is not a principal purpose of the loan. Don signs an interest-free demand note when 12% is the applicable interest rate. The loan is still outstanding on December 31. Mike is treated as having made a present interest gift to Don on December 31 of
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Analytical Corporate Valuation Fundamental Analysis, Asset Pricing, And Company Valuation
Authors: Pasquale De Luca
1st Edition
331993550X, 9783319935508
