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ZoeGillard
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Hi Riley

If the ‘loan’ was actually an injection into the company for more shares, then I believe what James has advised is accurate (based on the information you have provided).

However, if the loan is an actually loan I do not think a deduction will be allowable. I suggest that you look at some of the legislation that is available, this website might be helpful; note the section referring to paragraph 63(1)(a): http://law.ato.gov.au/atolaw/view.htm?DocID=TXR/TR9218/NAT/ATO/00001

I hope this helps.

Regards,
Zoe