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Travis
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Hi

For a personal loan, you can claim the interest based on the percentage of business use.

If you are running the business through a trust or company, and assuming it is for 100% business use, then the technically correct way to handle a loan held personally is to show the interest expense in your personal return as a deduction, with the same interest as income personally. The trust/company then deducts the interest. So the net effect is the business gets the ultimate tax deduction.

Hope that makes sense.

Regards

Travis Allen
Hillyer Riches
http://www.hillyerriches.com.au