down payment assistance taxed?

[mpr131]

What is the name of your state? PA

I was in the process of buying a home for my mom and grandfather. I already was approved for a mortgage and during this process my uncle has agreed to help with the down payment. The amount of the loan is small (under 60k) and my uncle has agreed to help with the down payment to get us closer to the loan amount b/c the purchase amount is ~75k. This amount might exceed 10k. Is there any legal or tax implications if this does exceed 10k? What is the best way to execute the deal? forming a corp, gift of money, etc?

Thanks.

[seniorjudge]

What is the name of your state? PA

I was in the process of buying a home for my mom and grandfather. I already was approved for a mortgage and during this process my uncle has agreed to help with the down payment. The amount of the loan is small (under 60k) and my uncle has agreed to help with the down payment to get us closer to the loan amount b/c the purchase amount is ~75k. This amount might exceed 10k. Is there any legal or tax implications if this does exceed 10k? What is the best way to execute the deal? forming a corp, gift of money, etc?

Thanks.

[url]http://forum.freeadvice.com/showthread.php?t=320969[/url]

[url]http://forum.freeadvice.com/showthread.php?t=320962[/url]

You need a good tax CPA.

[LdiJ]

What is the name of your state? PA

I was in the process of buying a home for my mom and grandfather. I already was approved for a mortgage and during this process my uncle has agreed to help with the down payment. The amount of the loan is small (under 60k) and my uncle has agreed to help with the down payment to get us closer to the loan amount b/c the purchase amount is ~75k. This amount might exceed 10k. Is there any legal or tax implications if this does exceed 10k? What is the best way to execute the deal? forming a corp, gift of money, etc?

Thanks.

Your Uncle can "gift"...with no tax implications up to 12k per person. Therefore if your mom and grandfather will also be on the deed...then he can gift up to 36k total. If its only you, then 12k.