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Essay

Debtor Creditor Relationships Article Review

Essay specific features

 

Issue:

Business

 

Written by:

David J

 

Date added:

September 8, 2015

 

Level:

University

 

Grade:

A

 

No of pages / words:

2 / 396

 

Was viewed:

2761 times

 

Rating of current essay:

 
Essay content:

The loans were considered by the IRS to be gifts, while the intent by the mother was that only the forgone interest was meant to be a gift. Both sons signed a non-interest bearing demand note with no collateral and a stated maturity date. The legal argument was whether or not this was a bona fide creditor-debtor relationship with a real expectation for repayment and an intention to enforce the debt...
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In order to be considered a creditor-debtor relationship, certain criteria apply. These criteria include a promissory note being signed, interest charged, security or collateral, a fixed maturity date, demand for repayment made, actual repayment made, ability to pay and being reported for Federal tax purposes as a loan...
displayed 300 characters

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