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Get your taxes done using TurboTax
No, no reason to report this financial event. You loaned money to your father and he paid it back (kudos to you for doing that). However, the interest earned must be reported on your tax return.
The IRS requires that adequate interest is charged. Read more about it here.
You probably want to use the applicable federal rate (AFR) to calculate what the adequate interest for the period should have been and include that on your return. You can find the rates here.
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‎November 16, 2022
9:51 AM
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