Section 441 — Income Tax Assessment Act 1936: Hire-purchase and other property financing transactions

(1) For the purposes of this Part, in determining whether a company passes the active income test: (a) a hire-purchase transaction or any other transaction for the financing of the acquisition of property is to be treated as a loan of money; and (b) income derived under the transaction is to be treated as interest. (2) Nothing in subsection (1) limits the generality of the expressions “interest”, “loan” or “payment in the nature of interest”.