I can afford to pay off his credit card debt ($6k) quickly and can cover the 2nd mortgage ($89k) in 1-2 years. However, gift taxes would make this difficult. How can I go about this without incurring large tax penalties?
Context: my mom hates my dad (no good reason). They are still legally married. She’s managed to make him pay the insurance, property taxes, utilities, 2nd mortgage (9% int!), and HOA on the house she has lived in for 30 years. She also kicked him out of the house almost as long ago.
My dad has accumulated credit card debt from being unable to afford these bills anymore. He was laid off from his high paying job 10 years ago. The 2nd mortgage is partly to pay for my and my 3 siblings’ college tuition and also the annual property taxes and house insurance that he can’t afford. He doesn’t make much money anymore. I learned the finer details yesterday, so I am making plans to help him get out of debt ASAP.
I do plan on getting my brothers, who live in this same house as my mom and have full time jobs, to cover the house costs. I am OK taking on the 2nd mortgage and credit cards. I just want my dad to be able to breathe.
Submitted November 16, 2023 at 01:16AM by rasaccount https://ift.tt/QnjHYOi
