The new rules will allow a loan from a private company to a shareholder (or their associate), to be repaid or put on a commercial footing before the earlier of the due date for lodgement or lodgement of a private company’s income tax return for the year in which the loan is made, in order to avoid the loan being treated as a deemed dividend for the purposes of Division 7A.
http://ato.gov.au/distributor.asp?doc=/content/58234.htm
Published: June 8 2005