Hello
Not sure if this is the correct forum. We have been renting for years and have very little savings. A very close and financially well off friend has offered us €20k towards a deposit and we plan on adding to this every month over the period of a year and then applying for a mortgage.
This would be a a long term loan over 30 years and interest free - the length of our prospective mortgage. She has said she doesn't want the money back at all but we would like to repay it.
She is ready to transfer the money to us but we are worried about the implications with revenue. Will we or she be liable for tax?
Should we drip feed it into a few accounts or just accept the lump sum via electronic transfer? or ask for some cash or what?
With respect, please spare the personal opinions about borrowing from friend, I'm just interested in the tax liability and what way is best to approach this. Thank you kindly.
Not sure if this is the correct forum. We have been renting for years and have very little savings. A very close and financially well off friend has offered us €20k towards a deposit and we plan on adding to this every month over the period of a year and then applying for a mortgage.
This would be a a long term loan over 30 years and interest free - the length of our prospective mortgage. She has said she doesn't want the money back at all but we would like to repay it.
She is ready to transfer the money to us but we are worried about the implications with revenue. Will we or she be liable for tax?
Should we drip feed it into a few accounts or just accept the lump sum via electronic transfer? or ask for some cash or what?
With respect, please spare the personal opinions about borrowing from friend, I'm just interested in the tax liability and what way is best to approach this. Thank you kindly.