Any CPA's in the house?

[Gooberlx2]

My dad wants to loan my brother some money so he can consolidate his debt, and stop getting raped by his current lenders (car, credit cards, etc...). However, wanting to avoid a gift tax, they figure that whatever the absolute minimum interest required for a personal loan would be cheaper, but they're having a hard finding out what that minimum is.

Anyone know off hand or where I could find it? Figure he's going to loan around $20K-$25K. Searching the IRS website as well as google brings much info about notes, but no numbers on interest.

 

[K1052]

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[Gooberlx2]

Originally posted by: K1052
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Thanks very much. I'm surprised, I thought they'd be lower.

 

[Minjin]

Gifting 25k to someone else just reduces your lifetime gift tax exemption by 13k. Oh no, only 987k remaining...

 

[iversonyin]

Originally posted by: Gooberlx2

Originally posted by: K1052
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Thanks very much. I'm surprised, I thought they'd be lower.

The Fed rate hikes for last 2 years had something to do with it. File your complain with Ben Bernanke.