Review a Division 7A loan schedule

The general ledger has a shareholder loan balance. That balance alone cannot show whether the agreement, interest and repayments support the year-end position.

Build one trail per loan

For the 2025–26 income year, collect the loan agreement, prior-year closing schedule, bank entries for advances and repayments, and the company trial balance. Check the borrower and agreement date, then reconcile the opening balance to last year's file. Keep each loan separate. A transfer between accounts is not automatically a repayment by the borrower.

For a complying loan, compare the year's actual repayments with the schedule's minimum yearly repayment and calculate interest using the applicable benchmark. The rate in the repo's 2025–26 rate book is 8.37%. Check any new loan's lodgment-day position separately; a current-year advance is not made safe by copying an old schedule's terms. If the repayment falls short, identify the amount and escalate the deemed-dividend treatment for review.

Check the company workpaper

Upload the agreement, bank evidence and trial balance to a 2025–26 company Workpapers case. Its T40 Div7A Loans sheet has a row for each loan and computes interest, minimum repayment, closing balance and shortfall from entered facts. Open the source behind the repayments, then read the review points. A shortfall is raised as a high-priority point for the accountant to resolve; the workbook does not make the underlying factual decision for you.

The 8.37% figure is from skills/company-workpaper/reference/rate-book.json for 2025–26. Check the income year on any file you roll forward before reusing it.