Kent Solicitors

The absent parent was the sole director and majority shareholder in a company. He had mortgaged his house and loaned the proceeds to the company, which paid him back on a monthly basis.

He received no other remuneration from the company.

The loan repayments were not income for the purposes of assessment for child maintenance

However, there is a suggestion that, if this was set up deliberately to avoid child maintenance, the arrangement might be caught by anti-avoidance provisions in the child maintenance legislation.

Labels: CSA Loan Repayment Income