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TaxRobin
TaxRobin, Tax Consultant
Category: Tax
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Experience:  International tax
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My daughters are repaying me on a monthly basis for lending

Resolved Question:

My daughters are repaying me on a monthly basis for lending them interest free some money. Should I be declaring the repayments as unearned income? M Sheppard
Submitted: 1 year ago.
Category: Tax
Expert:  TaxRobin replied 1 year ago.

Hello and thank you for allowing me to assist you.

Expert:  TaxRobin replied 1 year ago.

If this had been a common loan, any interest you received on top of your loan repayments would count as income - just as savings interest does. No interest means no income to declare.

The loan still counts as an asset - you own the debt and expect to get the money returned to you.

That means that a loan will still be included in the value of your estate for inheritance tax purposes, should you die.

TaxRobin and other Tax Specialists are ready to help you
Customer: replied 1 year ago.
That is excellent news: it's good to know that I'm not avoiding paying income tax. Phew! Many thanks, ***** ***** M Sheppard
Expert:  TaxRobin replied 1 year ago.

You are most welcome