shopping_cart

Your shopping cart is empty

Division 7A loan repayments: Part 2

Member Price: $22.00
Non Member Price: $28.00

DisclaimerThis material is copyright. Apart from any fair dealing for the purposes of private study, research, criticism or review, as permitted under the Copyright Act, no part may be reproduced by any process without written permission from The Tax Institute.
Unless expressly stated, opinions are not that of The Tax Institute, which accepts no responsibility for the accuracy of any of the information contained within it.

Published on 01 Nov 20 by "TAXATION IN AUSTRALIA" JOURNAL ARTICLE

In part 1 of this article, the author discussed the common practice of making the minimum annual Div 7A loan repayment by way of setting off against a dividend declared by the company. Risks, albeit low, arise where minutes documenting the resolution to declare the dividend are filed late, or the distribution statement is provided late to shareholders. In part 2, the author considers circumstances where the particular structure does not naturally provide for the creation of mutually opposing obligations for set-off between lender and borrower.

Author profile

David Montani CTA
David Montani, CTA, is National Head of Technical Tax – Private Enterprise at Grant Thornton. He has over 30 years’ experience, with over 20 of those in specialist tax advisory. In his role with GT, David delivers practical tax training, mentors staff, provides tax technical support on significant client engagements, and assists with quality and excellence protocols. - Current at 13 November 2025
Click here to expand/collapse more articles by David Montani.

 

Copyright Statement