Commercial Debt Forgiveness & Bad Debts
By Mark Morris
1h 5m CPD time
Difficulty: Intermediate
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Learn about the commercial debt forgiveness rules and how they can be applied, plus the requirements for bad debt deductions.
In this session, we cover:
Bad debt deductions
When is a bad debt deductible?
When is a debt ‘bad’?
Additional tests for company and trust creditors
Commercial debt forgiveness (CDF)
Interaction with Division 7A
When does debt forgiveness arise?
Exclusions from CDF rules
How to calculate the Net Forgiven Amount (NFA)
Rules for reducing the NFA
Date recorded: 18 April 2024