I mentioned her 401K because that is how she is paying my line of credit back. In my mind, the taxes do not count but the actual gift amount would be the principal and interest. In reality, I loaned her the money for the kids and she is paying me back over 5 years. ARE YOU SAYING THAT BECAUSE WE ARE DOING THIS BETWEEN US ITS NOT A GIFT? SINCE I TOOK OUT THE LINE OF CREDIT FOR THE KIDS, DOES THIS MEAN IT DOES NOT CONSTITUTE THE DEFINITION OF A GIFT?
