You don`t need to cover all of these points, but the more you cover, the stronger your position as a union manager. People can`t read all the terms, but at least in the event of a dispute, you can send them back to the terms of your agreement. If there is no [written] agreement and the winner of a prize transfers part of it to others, these gifts may accept inheritance tax. If the group members are able to prove that the distribution of the prize was made in accordance with a group agreement concluded before the profit, there is no inheritance tax obligation [this effectively means that you need a written agreement]. It is important to note that the law and practice of the tax office may change, the comments on inheritance tax are based on our understanding of the tax practice of November 1994 [unfortunately, there is nothing else on inheritance tax, for example is there a personal allowance? What is the tax rate (40%)? etc.] However, there is a problem that arises and it is due to the way the price is paid. Essentially, only the designated employee can claim the price. They are then responsible for sharing the profits among the other members of the union. Example. Jenny runs the lottery syndicate at Happy Days Pizzas Ltd, where she and five other employees put £5 a week into a fund to play the lottery. In July 2017, they won the jackpot and won £12 million.
Jenny claims the gains and quickly pays £2 million to union members! For example, if your union has been lucky and the money is distributed among the players, it may actually arouse the interest of the helmsman. But if you made a formal agreement, you have proof that the union existed before you won. We have a union of six people who play the national lottery. Each week, a different member buys the tickets with the prize money. [Further information on unions is available from Before-the-Event Ltd., although I do not support this company or its policy of selling syndicated forms for £5…] Going to the shop and buying the tickets, perhaps copying them for any member of the union, takes a lot more time and effort than people think. HMRC stated that no IHT is due on syndicated profits, provided that payments are distributed in accordance with a pre-elaborated agreement. . . .