How to lasso a tax efficient plan

One of the best defences against the potential ravages of inheritance tax (IHT) is an arrangement which, initially at least, has no impact. In addition, it allows the client to access capital at any time during their lifetime, but does not create a gift with reservation, nor does it offend the pre-owned assets income tax legislation. Let’s start with a simple scenario without a trust. Archie decides to lend £1m to Brenda. He arranges the loan in such a way that it is repayable on demand and, to avoid unnecessary complications, he makes it interest-free. The fact it is repayable on demand...