• Interest expenditure

    Interest incurred during the year of income is not eligible for a notional R&D deduction.

    Interest has the same broad meaning as it has in the withholding tax rules in Division 11A of Part III of the ITAA 1936External Link. This includes an amount in the nature of interest (for example, a discount on a security) and a dividend on a non-equity share.

      Last modified: 25 Oct 2016QC 25805