Offshore Option

[Vallah]

1 & 2: A loan that is guaranteed to be never asked to be repaid is not a loan. My kids might well ask me for a loan, and I'd act in their best interest by not giving them one. Similarly, I might view that repayment of said loan is in their best interest. Who decides what my best interest is? And how can I be sure it coincides with what I think my best interest is?
3. So the worst that can happen to your QC is that he suffers damage to his reputation. Who is this mysterious and, so far, anonymous QC?

Guess what? Highly paid tax QCs agree that "a loan that is guaranteed to be never asked to be repaid is not a loan" and so they avoid wording it in exactly that manner.

[LisaContractorUmbrella]

Guess what? Highly paid tax QCs agree that "a loan that is guaranteed to be never asked to be repaid is not a loan" and so they avoid wording it in exactly that manner.

So you're saying the loan will have to be repaid or that it won't have to be repaid but the wording is such so that even it is repayable it will sound as though it isn't?

[Vallah]

So you're saying the loan will have to be repaid or that it won't have to be repaid but the wording is such so that even it is repayable it will sound as though it isn't?

The loan is repayable. The trustees have to act in the interests of the beneficiaries. How much clearer could it be?

[NotAllThere]

How could the average contractor possibly know whether the QC who's opinion you value so highly hasn't already given bad advice on another avoidance scheme where it all ended in tears?

[Vallah]

How could the average contractor possibly know whether the QC who's opinion you value so highly hasn't already given bad advice on another avoidance scheme where it all ended in tears?

What are all these schemes that have ended in tears?

[Sockpuppet]

The loan is repayable. The trustees have to act in the interests of the beneficiaries. How much clearer could it be?

Define "best interest". If the scheme was declared illegal in the future what if the best interest including recalling all the loans and charging interest?

[NotAllThere]

The loan is repayable. The trustees have to act in the interests of the beneficiaries. How much clearer could it be?

I'm not sure how much unclear it could get!

If you have to pay the loan back, then there's no retained income. If you don't have to pay it back, it isn't a loan.

[Vallah]

Define "best interest". If the scheme was declared illegal in the future what if the best interest including recalling all the loans and charging interest?

The beneficiary would argue that that wasn't in their best interest, and that would be that.

[Vallah]

I'm not sure how much unclear it could get!

If you have to pay the loan back, then there's no retained income. If you don't have to pay it back, it isn't a loan.

Damn. You're right! Best get back to the drawing board then.

[NotAllThere]

What are all these schemes that have ended in tears?

You are about one post away from being banned for trolling. http://forums.contractoruk.com/accou...rt-appeal.html