Imputed interest rate
Jan 31, 2009 5:55 pm
For those that have made a move lately or signed a retention deal what was the imputed interest rate on your forgivable loan? Please give the firm too.
Thanks.
(usually firm pays the interest but the FA has a taxable obligation for that interest in that year as well)
Jan 31, 2009 8:40 pm
5%
Feb 1, 2009 3:03 pm
what firm?
Feb 2, 2009 4:02 am
BAI is 5%
Feb 2, 2009 4:05 am
BAI makes the FA write a check every year over 6 years, then they run it through payroll, grossed up with the 5 % of the remaining “loan” shown as imputed income. Then it all hits FIT, State, SS and Medicare.
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