EDIT: Dunno if there's a post flair for solved, but y'all figured this out for me. Thanks for all the quick help!
So as the title says, I've given my parents about $100K over the last 6 or 7 years for various reasons (medical bills, couldn't make mortgage or property tax, etc). Nothing too large at once that I couldn't handle, but it adds up. Not sure if it matters, but half the time these transactions were me cutting my folks a check and half the time it was me dealing directly with the creditors (is that the right term? whoever it was that they owed money).
Anyway, in my mind it was always a gift b/c while I love my family, I'm realistic and never expected they could pay me back. Well, the housing market where they live is sizzling hot now and they're in the process of selling the family home. And bless their hearts, they want to pay me back once the sale goes into escrow.
So this is nice, but I'm curious what the tax implications are? Like would I have to pay income tax on this after my parents already paid capital gains tax on the sale of their home? And why would it be income when it's just my own money coming back to me? What should happen here? My understanding of taxes is just whatever TurboTax tells me to do.
Thanks,
Thanos_Snap_Survivor
(yes this is a new/throwaway account; apologies if that looks sketch to some people)
Submitted August 23, 2018 at 09:36PM by Thanos_Snap_Survivor https://ift.tt/2P4r2nZ
