Distributable Surplus for Div 7A: Calculations and Application
Master distributable surplus rules with confidence and prevent costly mistakes in client tax positions
Mistakes are often made when calculating distributable surplus and myths surround the impact that the rules have on client tax positions. This session aims to address these common problem areas.
A Live Instructor Led Webinar
The integrity rules in Division 7A are aimed at ensuring there are tax consequences when funds or profits that really belong to a private company are accessed by shareholders or their associates. When the rules are triggered, a shareholder or their associate may need to recognise a deemed unfranked dividend in their tax return. This deemed dividend, however, is capped at the company’s distributable surplus.
Our experience tells us that practitioners often struggle when applying the distributable surplus rules to real-life client scenarios. Mistakes are often made when calculating distributable surplus and myths surround the impact that the rules have on client tax positions. This session aims to address these common problem areas.
Register Me
AU $180 ex GST members
AU $215 ex GST non-members
Register Team*
AU $475 ex GST members
AU $545 ex GST non-members
Dates & Details
Recorded: 26 March 2026
*Office Registrations. Maximum 10 participants per firm (must have same email domain). The PD points for all attendees will be recognised and links will be provided to all attendees.
What we cover
On completion, participants will be able to:
- Work through the process of calculating the distributable surplus of a company for Division 7A purposes;
- Understand the figures that should be used for assets and liabilities in the net assets item of the formula;
- Understand when the Commissioner might decide to substitute different values;
- Identify items that are treated as “Division 7A amounts”; and
- Explain what happens in the situation where a deemed dividend is reduced by the distributable surplus rules.
What's included?
- 1 x 1.25 hour (est.) webinar
- 3 month access to Q&A embedded webinar recording
- Reference notes
Our presenter
Tim Edgecombe
Tim has over 15 years’ experience in public practice with Chartered Accounting firms, including with Big 4 firms and continues to act as a consultant for several accounting firms, ranging from large second tier to sole practitioners. Tim has significant experience in the tax issues encountered by small to medium enterprises and brings these practical insights to training presentations.
He regularly presents tax related topics at a range of professional forums on behalf of other industry bodies. Tim is also involved with the presentation of Tax Masterclass material for CA candidates.
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