What is the name of your state?
Illinois
Hi,
I borrowed about $10,000 from a friend last year to tide me over some trouble. I live in the UK and he lives in the US and now I want to pay him back the money in lots of $1500 each month for the next 6-7 months. I'm not sure though if I can just transfer the money to his account. What I'm asking really is, will it be regarded as income for him and so will he be taxed on it? Or is it okay that I just tranfer the money to his bank. In the UK it would be no problem as bank don't get involved in tax laws, but I believe banks are involved to some extent in the U.S. Before we did anything we just wanted to make sure. Both of us have personal accounts and the only thing that goes into them generally is our salary
Thanks
Illinois
Hi,
I borrowed about $10,000 from a friend last year to tide me over some trouble. I live in the UK and he lives in the US and now I want to pay him back the money in lots of $1500 each month for the next 6-7 months. I'm not sure though if I can just transfer the money to his account. What I'm asking really is, will it be regarded as income for him and so will he be taxed on it? Or is it okay that I just tranfer the money to his bank. In the UK it would be no problem as bank don't get involved in tax laws, but I believe banks are involved to some extent in the U.S. Before we did anything we just wanted to make sure. Both of us have personal accounts and the only thing that goes into them generally is our salary
Thanks