Can a Division 7A loan actually be useful?
Division 7A is usually discussed as a tax problem business owners need to avoid. However, when it’s structured and managed correctly, there are circumstances where a Division 7A loan can be used deliberately as part of a broader tax strategy.
In this video, Cotchy founder and CPA Pat Mannix explains why he sometimes puts clients into Division 7A loans on purpose, including the longer-term approach that many business owners may not have heard about.
If you have a private company, trust or bucket company in your structure, understanding how Division 7A works is important before moving money between entities.
Want the full breakdown? Read Division 7A Loans: The Strategy Most People Never Hear About.
