Episode 70: Denying tax deductions for ATO interest charges

In this episode of Tax Yak, Tiffany Douglas chats with colleague George Housakos, senior tax trainer at TaxBanter, about a significant issue facing the tax profession from 1 July 2025: taxpayers will no longer be able to claim an income tax deduction for ATO interest charges.

George is a CPA and brings over 25 years of tax expertise, including 20 years at the Australian Taxation Office where he specialised in disputes and interpretative advice. He also has substantial experience in training and assessment within the TAFE sector. George is well known for his practical and pragmatic approach to providing taxation and superannuation advice.

This podcast explores the challenges businesses must address when financing their activities. For further insights, consider signing up to TaxBanter’s special topic on “Financing business activities,” which will examine the various forms of debt and equity financing, as well as their tax implications. Topics covered include:

  • The debt-equity rules
  • Hire purchase versus lease finance
  • Leases of luxury cars
  • Commercial bills
  • Working capital funding
  • Non-recourse debt
  • Loans between related parties
  • Refinancing

Listen to Episode 70:

This information is general information only and not intended to be financial product advice, investment advice, tax advice or legal advice and should not be relied upon as such. As this information is general in nature it may omit detail that could be significant to your particular circumstances. Scenarios, examples, and comparisons are shown for illustrative purposes only. Certain industry data used may have been obtained from research, surveys or studies conducted by third parties, including industry or general publications. TaxBanter has not independently verified any such data provided by third parties or industry or general publications. No representation or warranty, express or implied, is made as to its fairness, accuracy, correctness, completeness or adequacy. We recommend that individuals seek professional advice before making any financial decisions. This information is intended to assist you as part of your own advice to your client. Use of this information is your responsibility. To the maximum extent permitted by law, TaxBanter expressly disclaims all liabilities and responsibility in respect of any expenses, losses, damages or costs incurred by any recipient as a result of the use or reliance on the information including, without limitation, any liability arising from fault or negligence or otherwise. While all care has been taken to ensure the information is correct at the time of publishing, superannuation and tax legislation can change from time to time and TaxBanter is not liable for any loss arising from reliance on this information, including reliance on information that is no longer current. Tax is only one consideration when making a financial decision. 

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