Australia Tax Agency Seeks Comments on Interest-Free Loans Between Related Parties

The Australian Taxation Office Aug. 12 opened a consultation on Draft Practical Compliance Guideline No. PCG 2017/4DC2, regarding interest-free loans made between related parties. The draft guideline explains: 1) risk factors related to the application of transfer pricing rules; 2) the related party financing risk indicator guide; 3) the application of the risk indicator guide to outbound interest-free loans; and 4) considerations for identifying the arm’s length conditions. Comments are due Oct. 14. [Australia, Australian Taxation Office, 08/12/20]

Reference:
View Draft Practical Compliance Guideline No. PCG 2017/4DC2. View Index.