Hi @BigIron,
The key factor in determining whether interest is deductible, is the purpose of the borrowing. If you borrow money to buy shares or related investments, from which you would earn income, you can claim a deduction for the interest.
If you use the borrowed funds for both private and income-producing purposes, you have to apportion the interest expense.
This tax ruling goes into detail about deductibility of interest from redraw facilities.
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