Returning of lending money

[weblover78]

I lended a large amount of money to a oversea realtives a few years ago. Now he is ready to return the money back to me. My question is how do I avoid paying tax on the money he will return? Thanks

[cassie]

The lending of money is not a taxable source. Receiving the loan back is not taxable, but any interest you charge is a taxable source.

[questdragon55]

I seriously have not clue he may give you money as a gift but you still will pay a tax money that you have borrow was already taxable but IRS will not believe you that you have borrow money and now your friend want to give you money back so you will have to pay tax.. you should ask a tax lawyer how to avoid tax on your money

[alec11]

I wonder what way do you receive that loan payment?
Just use checks, and not report it as your income, then you can avoiding tax.

[puchchu]

Originally Posted by weblover78

I lended a large amount of money to a oversea realtives a few years ago. Now he is ready to return the money back to me. My question is how do I avoid paying tax on the money he will return? Thanks

You greedy man! You are getting your money back, at least you will have something so why do you want to avoid tax?

[bika]

Originally Posted by alec11

I wonder what way do you receive that loan payment?
Just use checks, and not report it as your income, then you can avoiding tax.

When there is will, there is way! Here the idea!