But does this debt physically exist,where did this cash arise from? who is going to call this debt in?

No your not being sensible at all.

If you give your kids an amount of money then they are still liable for the inheritance tax when you die, (if you die with the 7 years from giving it to them). This is if your total estate is worth more than the inheritance tax threshold of £325k - this includes your other property valued at £165k and anything else you leave, including any gifts you've made during this period.

Your kids are going to receive a big tax bill if you die within the next 7 years or they could be put in a difficult position if they no longer have the money to pay it.

What you should have done is put it all in a trust fund years ago.

And just because you pay tax on your pension doesn't entitle you to tax avoidance. Your supposed to be a principled man

Hi

Those on State Pension should not pay more, that would be totally wrong.

That is also wrong is that Tax relief on the Rich on Pension Payments is 40%, but on the vast majority it is only 20%.

Inheritance Tax?

Easy, move to a cheaper area and give the money to the kids.

Tax avoidance is perfectly legal and moral. Anyone who does not use every means possible to avoid paying tax is a mug.

I pay my accountant to make sure all my tax liabilities are the absolute minimum.

He's very good at it