ATO Summarizes Effect of Debt Deduction Creation Rules on Private Groups

The Australian Taxation Office has issued a summary on how the new debt deduction creation rules affect private groups.

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Debt deduction creation rules and private groups

Review a summary of the thin capitalisation – debt deduction creation rules (DDCR) and how they affect private groups.

New information is available to help you understand how the DDCR interact with your private group clients. The DDCR came into effect on 1 July 2024.

The DDCR apply to disallow debt deductions arisi…