Division 7A Loan Agreement

Create a Division 7A Loan Agreement for when a company makes a loan to shareholders or an associate of a shareholder.

The Cleardocs Division 7A Loan Agreement can be used when a company makes a loan:

  • to a shareholder or shareholders of the company; or
  • to an associate of a shareholder of the company — the term 'associate' has the same meaning as in Division 7A of the Income Tax Assessment Act 1936 (Cth).

Time taken to complete Less than 5 minutes.

Cost $ 82.50 (inc GST)

Legal Sign-offThe master documents are written in plain language and are signed-off by our lawyers at Maddocks.

What documents are included in the Cleardocs Division 7A Loan Agreement?

The Cleardocs Division 7A Loan Agreement package includes:

  • the Loan Agreement; and
  • an Establishment Kit explaining what to do next.

What information do you need to order a Division 7A Loan Agreement through Cleardocs?

Our checklist outlines all the information you require.

Why arrange a Division 7A Loan Agreement?

If you have a Division 7A Loan Agreement in place and borrow money from a Pty Ltd company in accordance with the agreement, you avoid the loans being classified as dividends. This means that the loans do not attract the unfavourable tax consequences of Division 7A of the Income Tax Assessment Act 1936 (Cth).

Seek legal advice

The Division 7A Loan Agreement information here should be considered general in nature, and in no way interpreted as legal advice. You must always seek your own independent legal, accounting and financial advice about your particular situation. The summary on this page is for information purposes only.

Questions or further information

If you have questions:

  • about how to use Cleardocs, contact the Cleardocs helpline on 1300 307 343.
  • about legal issues, contact the Cleardocs helpline on 1300 307 343. If you need advice, we will arrange for you to speak with a lawyer at Maddocks. The firm provides a free legal helpline in relation to the documents Cleardocs provides. If you require other legal advice in relation to your particular circumstances, then this will be charged for.
  • Copy function for address details
  • Fully compliant with taxation legislation
  • Easy to use question interface
  • Extensive online help and local phone support