Jeremy Glover answers a query on an outstanding loan from a subtrust within an EBT
We currently have an outstanding loan from a subtrust that was set up for my family and I within my former employer’s employee benefit trust in 2008. We are having to pay administration fees for the operation of the subtrust.
Should I keep the loan outstanding pay it back or ask the trustees to waive the loan?
As you probably know HMRC has sought to attack employee benefit trusts (EBTs) using a number of weapons in its armoury. Since 6 April 2011 HMRC has been able to use the harsh anti-avoidance legislation now contained in ITEPA 2003 Part 7A to impose employment income tax charges on certain events whereby third parties are deemed...
