Taxpayers can no longer deduct general interest charges (GIC) and shortfall interest charges (SIC) incurred on or after 1 July 2025.
This change applies to GIC and SIC incurred from 1 July 2025 in respect of outstanding or late payments of tax for income years both before and after 1 July 2025. Any GIC and SIC already incurred prior to 1 July 2025 remains deductible for the 2024–25 and earlier income years.