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  1. Sim

    Limit to Tax deductable borrowings

    Reply: 1.1.1.1.1.1.1.1 From: Sim' Hampel Owen, I think there have been a few examples here in the forum of people suggesting that capitalising the interest (whether deductible or not) would be a reasonable short term option in certain circumstances. Examples I seem to remember are while...
  2. Sim

    Limit to Tax deductable borrowings

    Reply: 1.1.1.1.1 From: Sim' Hampel Ahh... the answer to this one is easy also (please correct me if I'm wrong though !) Information on the ATO website clearly states that the "interest on money borrowed to pay interest" is NOT deductible. If there is a way, I'd be interested to hear it.
  3. Sim

    Limit to Tax deductable borrowings

    Reply: 1.1.1 From: Sim' Hampel This is easy. If your total purchase costs are, say, $110K, and you take out a loan for $120K, then the interest on the $110K portion of the loan is tax deductible (as we expect), and the interest on the remainder of $10K is deductible depending on what it is...
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