I need to loan money without tax consequence when paid back

[DIY_Tax_Person]

I need to loan $1,000 to a relative (for a plumbing repair on their home). My concern is that when I'm paid back it might count as taxable 'income' as part of my 'gross income'. Should I or should I not charge some sort of nominal interest rate, such as 1% per year?

[SusanY1]

A loan repaid is not considered income, so no worries there.  However, if you do charge interest, the interest is considered income to you.   

[Mike9241]

The loan amount is below the threshold (code section 7872) for charging interest on a related party loan. Thus whether you want to charge interest is up to you.