Div 7A and COVID-19: ATO allows 12 month extension of time to make 30 June 2020 ‘minimum yearly repayments’ to avoid a s109E deemed dividend on ‘shortfall’

On Friday 26 June 2020, the ATO announced they would extend the 30 June 2020 due date for s109E ‘minimum yearly repayments’ of loans, that ‘comply’ with s109N of the ‘deemed dividends’ provisions, in Division 7A of Part III of the ITAA36 (Div 7A).

See below for further details.

[Tax Month – June 2020]