Division 7A tax rules “single biggest tax headache” for SMEs, say tax experts

​Small business is faced with expensive costs because unnecessarily complex division 7A tax regulations for small business tax expects. Changes to the regulations and broader operation of business trusts could be result a of the way a board of taxation`s review. The government tax board is now saying public submissions on its anti-regulation is reforming the second discussion paper, their associations for personal use and enjoyment in the which are designed to discourage businesses. Division 7A is introduced in 1990s, this regulation is more and more complex, increasing the similarly costs for businesses. It is the biggest tax headaches, but the division 7A tax regulations not something you can avoid the tax time. The anti- avoidance is measures are designed to the discourage the businesses from distributing loans to shareholders. Its safe to say the division 7A is responsible  for the highest compliance costs are faced by small business market tax payers.