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Accessing private company money or assets?

Learn what the common mistakes are and how to avoid an unexpected tax bill.

Published 15 April 2024

Running a small business through a private company means you have a lot to think about, particularly when it comes to the rules about accessing money and assets from your private company.

One such rule is Division 7A – an integrity rule that applies to prevent private company profits from being distributed to shareholders or their associates tax-free.

The common mistakes we see with Division 7A are often simple in nature and include:

  • incorrect accounting for the use of company assets by shareholders and their associates
  • loans to shareholders and their associates made without complying loan agreements
  • errors in making minimum yearly repayments on complying loans.

We are launching a series of webinars and articles to help you decode these rules and avoid the common mistakes.

The following resources are available to help you understand Division 7A: