Division 7A of the Income Tax Assessment Act 1936 (Cth) (ITAA 1936) contains anti-avoidance provisions that are aimed at preventing private company shareholders from avoiding dividend taxation by accessing company profits in another form - eg, by way of a loan.
A loan from a private company to a shareholder or an associate of a shareholder may be deemed to be a dividend unless certain requirements are met.
A loan that complies with the criteria set out in section 109N of the ITAA 1936 (also known as a Division 7A Loan Agreement) will be exempted from being deemed to be a dividend.
Such a loan must be in writing and, amongst other criteria, must meet certain minimum interest rate and maximum term requirements.
This document uses Embedded Lawyer-Logic™ to create a compliant Division 7A Loan Agreement for a loan and/or loan facility.
✅ Any amount advanced after a particular date will be captured under the terms of this Division 7A Loan Agreement;
✅ The facility can start at the beginning of the relevant income tax year or on the day the Division 7A Loan Agreement is signed;
✅ Specific details of advances made before the date of the Division 7A Loan Agreement can be included; and/or
✅ Obligations to repay advances to be made in the future can be created.
Enter the code WHen you pay full price to Purchase one of the following Self Service documents:
Re-Enter the code at checkout each time you buy the following documents to get a discount:
blueocean.law has awesome legal docs + legal wizards/services on its website! Especially its FREE U.S. Non-Immigrant Visa Application Legal Wizard [Global] which is right on point for my current business needs.
Meeting with James was a pleasure, I experienced something truly exceptional, and I can't help but share my enthusiasm through this review. The service I received was impeccable. James was not only highly professional but also genuinely friendly, making me feel like a valued client throughout that moment. He was very knowledgeable and provided me with valuable information. His attention to detail was not limited, yet without sacrificing substance for style. In conclusion, our meeting provided an unforgettable experience, and the knowledge that I received was something truly remarkable. Highly recommended.
blueocean.law's website is an incredible treasure trove of information! The depth and clarity of the content provided are truly impressive. It's evident that a lot of effort and expertise has gone into curating such a valuable resource. Thank you for creating a platform that’s engaging and very informative. Highly recommended.
This thought-provoking article underscores the often overlooked yet profoundly important aspect of estate planning – the ethical will or legacy letter – adding depth and significance to the process of passing down not just assets, but personal values and wisdom.
This eye-opening article offers a comprehensive overview of the significant changes in Australian Employment Law for 2023, emphasizing the potential impact on businesses and employees and highlighting the need for adaptability and compliance in this evolving landscape.
Thanks for this FREE Titan Lawyer [AI] Demo, I think it was a useful and impressive exercise. Output: There was nothing in the output that I would disagree with. It has correctly identified some lack of specifics (which was on purpose due to the intra-group context). No hallucinations. There is no deficiency in the terms that Titan Lawyer failed to see. But on the other hand, I do not know what I don't know ...
Titan Lawyer [AI] Demo Use case: In terms of workflow and getting something back that is actionable, I think this works. It would support me in turning around the document. Would like to play with it some more if I can think of documents and use cases to throw at it.
James has been great to work with. I called him on a Monday and by Tuesday he had a formal [19-Page] Concerns Notice sent to a person defaming me and my business. He stayed in touch throughout the day, kept me updated regularly and was diligent to ensure we were exercising all of my rights under the law. Thanks, James!