Legal Question in Wills and Trusts in Texas
How can you loan money to someone that will be considered a part of their inherited
Asked on 5/29/13, 3:28 am
1 Answer from Attorneys
Arthur Geffen
Arthur H. Geffen, P.C.
It is either a loan or a gift. If you intend them to pay interest on it, then it needs to be a documented loan. If it is an interest free loan (essentially a gift) your will needs to say that it was an advancement against whatever else you leave them or that upon your death any balance due is forgiven. There are income tax consequences to this transaction, so see your lawyer.
Answered on 5/29/13, 8:13 am