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QB 22/10
Issued
13 Dec 2022

Can a close company deduct interest on a shareholder loan account where the amount is not known until after balance date?

This Question We’ve Been Asked sets out when a close company can deduct interest payable on a shareholder loan account in its tax return where the exact amount is not known until after balance date (usually 31 March).

Tax Information Bulletin Vol 35 No 1, February 2023

Income Tax Act 2007 – ss BD 3, BD 4, DB 7, EA 4, RE 3, RE 4, RE 10, YA 1, YB 1, YB 3 – YB 14 and subpart EW