EIM26520 - The benefits code: beneficial loans:
interaction between employment income and other tax charges: loans
made by superannuation funds
Make a report to
Employment Income Technical in the following
situations.
- Where you find that a director or an
employee, who is not in an excluded employment (see
EIM20007) and who is a member of an
approved superannuation fund:
- obtains an interest-free or cheap loan from that
fund and
- it is claimed that the loan is made otherwise than
on the security (whether expressed or implied) of the individual's
prospective benefits from the superannuation fund, namely a loan
that is viewed as an ordinary investment.
- If you get information that suggests
that:
- a small, self-administered pension scheme has
been, or is being, set up for the express purpose of making cheap
or interest-free loans to a few influential members and
- the employer has made a special contribution in
the early days of the pension scheme to achieve this end.
