Private ruling: Co-operatives and Mutual Companies
Date of advice: 8 September 2017
Published: January 2018

Ruling: Q1: Is Entity A a ‘co-operative company’ under section 117 of the Income Tax Assessment Act 1936 (ITAA 1936)? | A1: Yes. | Q2: Will the principal repayments of the loan made by the state government to Entity A for the purchase of capital assets for members of Entity A be deductible under paragraph 120(1)(c) of the ITAA 1936 to Entity A in the income year that it is paid? | A2: Yes.