Royal Skandia Trust Company, a division of Isle of Man-based Skandia International, has extended its range of inheritance tax solutions with the launch of its Enhanced Loan Trust.
Royal Skandia claims the key benefit of this latest enhancement is the flexibility it brings to investors who can now accommodate a future change of circumstances such as waiving all, or part of, any outstanding loan. With a Loan Trust investors have the ability to make an interest free loan repayable on demand, the proceeds of which are placed in a single premium investment bond, written in trust for chosen beneficiaries. Any growth in the value of the loan falls outside the individual’s estate and is, therefore, exempt from IHT. Royal Skandia says that with its Enhanced Loan Trus...
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