Life Insurance Fund Redemption and transfer
Life insurance in the name of mother.
Premiums used to build up a fund that is then used to pay the mortality charge.
On death the payout is into trust that benefits children.
Children have paid all the premiums.
Total premiums paid exceed current fund value
If the policy is now surrendered before death the current balance of the fund has to be paid to the mother.The mother then transfers the money to the children.
How should this be treated? Is the cash transfer from the mother to the children a PET or would HMRC accept it as a repayment of a debt to the children who have paid all the premiums?
Any guidance much appreciated.
- How can I deal with an unethical accountant? 137 4
- Vat registration exception 188 3
- CIS software 59 2
- Homing sandwiches 441 11
- CT600 107 3
- Director appointment not valid - any observations? 167 7
- Settlement discount 124 4
- signature required 498 21
- Director Personal Bank Account in company's books 510 9
- How do I undo the work of a Macro in Excel 177 5
- A number of Clearbooks VAT return issues! 166 2
- VAT on hotel payments received in advance 120 2
- Pratice Management Software 120 1
- Norwegian p45, which UK Tax return does it go into 205 10
- Left UK in 2006 but did not declare rental income since 2009 130 1
- VAT rate charged by surveyor 186 2
- Related Party Transactions 121 2
- UK resident receiving USA pension 111 1
- EU eservices VAT change imminent 468 9
- Sage payroll alternatives 766 13
- Auto enrolment excuses 1,241
- Feedback on accounts production software for IFRS 810
- Add T&Cs to Sales Order in Sage 520
- Digita Hosted Software 335
- Credit where credit's due....... 311
- Buying goods in US and selling them to company in US 236
- Flat rate VAT- other income calculation 192
- TheTax Donut 178
- Corporation Tax return - more than one trade 158
- Double taxation relief - same income, different individual 158