FISCAL ASPECTS OF LOANS BETWEEN COMPANIES

Abstract

Most often the recipients of legal rules on loans between commercial companies are penalized by tax inspectors who consider such operations illegal. At a deeper analysis it is apparent that in some circumstances such an operation is alloweditura Tax legislation - tax code and rules of procedure of their application - make such operations lawful, outlining the legal regime in order to determine the duties and taxes on loans between companies. Our work will cover only the approach where the creditor company does not include in it’s objects of activity the subject of lending and is not authorized to perform these operations on a commercial basis, whereas in the latter case the legality of lending to companies is outside the discussion.