Interest deductibility for tax is a complicated and often material part of a financial model. This webinar sets out the theory, recommends best practice and explains why errors in the calculation matter. It aims to give you more confidence when you build or review a model that includes these calculations.
What you will learn
The calculation
The concept of interest deductibility and the main parts of the calculation, across tax jurisdictions.
Thresholds
The difference between a threshold set as a percentage of tax EBITDA and a fixed de minimis threshold.
Carried forward balances
How disallowed interest is carried forward and used in later periods.
Common mistakes
Examples of the mistakes we see most often in financial models, and how to avoid them.