Significant changes proposed to Division 7A

Significant changes proposed to Division 7A

Last month the Federal Treasury released for public consultation a paper on the “Targeted amendments to the Division 7A integrity rules”. If the proposed changes go ahead, any existing Div 7A loans, unpaid present entitlements (UPE’s) that have been placed on sub-trust arrangements, or any loans that predate the introduction of Div 7A (December 1997) will need to be reviewed before 30 June 2019.