ATO guidelines will force companies to ‘rethink tax strategies’

The Australian Taxation Office (ATO) has its sights on more than a dozen multinational companies that are in the “red zone” when it comes to tax deductions claimed for their cross-border “related party loans”.

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On Tuesday, the Tax Office released draft guidelines to help companies assess whether their loan arrangements with related parties (such as a subsidiary based in a foreign country) carry a “high” or “low” risk of being audited, or even litigated in court.

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Read the full article on ABC Online.

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