Equity Replacement Loans

Liabilities include equity replacement loans and financial plan credits. If the loan or guarantee has replaced equity, the cost of the loan or guarantee is the cost of the asset. The term equity replacement loan refers to the treatment of shareholder loans in the event of insolvency. Equity as a substitute for loans As a…

Crisis-specific loan

Tax advantages of crisis loans If a shareholder loses a loan that she granted to “her” company, she at least wants to reduce the economic loss by claiming the loss of the loan as a tax-deductible deduction. However, in the case of loan losses in connection with acquisitions within the meaning of 17 Income Tax…