Question
On October 1, Dave lends Tom $16 million. Tom signs an interest-free demand note. The loan is still outstanding on December 31. Explain the income
On October 1, Dave lends Tom $16 million. Tom signs an interest-free demand note. The loan is still outstanding on December 31.
Explain the income tax and gift tax consequences of the loan to both Dave and Tom. Assume that the federal short-term rate is 9%.
ANSWER: Dave had made a gift to Tom and reports what amount?
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Telecom Audit
Authors: M S. Mastel
1st Edition
0071410546, 9780071410540
