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Income Tax Assessment (1997 Act) Regulations 2021
26‑85.01 Borrowing costs on loans to pay26‑85.01 Borrowing costs on loans to pay life insurance premiums—term insurance policy etc.
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26‑85.01 Borrowing costs on loans to pay life insurance premiums—term insurance policy etc.
For the purposes of subsection 26‑85(2) of the Act, the risk component of a premium received in respect of a life insurance policy that is: (a) a term insurance policy; or (b) a rider or supplementary benefit attached to another policy where the sum insured is payable on death within a specified term; is an amount that is equal to the whole of the amount of the premium.