From www.pitcher.com.au: Legislation has passed that will make the General Interest Charge (GIC) and Shortfall Interest Charge (SIC) non-deductible for taxpayers starting from July 1, 2025, changing how these charges are treated under tax law.

Taxpayers should be aware that whether these charges are deductible will depend on the timing of tax assessments and related liabilities, prompting them to consider early repayment or financial planning to mitigate non-deductibility.

The changes require taxpayers to take action before July 1, 2025, to secure deductions for interest charges related to tax debts and to review their tax obligations accordingly.