Retrospectively Restructuring Investment Loans

Thinking about restructuring your investment loan? Here’s the truth: you can’t make old private debt tax-deductible. The ATO always looks at the original purpose of the borrowing — not what the loan is called today. So if the funds originally went toward private use (home, personal spending, debts), that portion will always remain non-deductible. What you can do is improve your structure going forward: ✔ Create clean loan splits ✔ Avoid mixing private and investment borrowings ✔ Borrow correctly for future investments ✔ Keep clear records