IRS Reporting for Private Money Interest Earned
I am happy to announce that I have just completed my first flip project using private money. The project was successful and the investor received a check at closing for his principal plus interest. He was extremely happy to say the least, but I believe I have created an obligation for myself to report his interest earned to the IRS. I have no idea how to do that or if I do have to do that. Are there any experienced PM users out there that can offer some advice. Is this something my CPA will do for me or should I do it? How do you do it?
Thanks in advance!