Interest subsidy

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Interest subsidy

The value of a firm's deduction of the interest payments on its debt from its earnings before calculation of its tax bill under current tax law.
Copyright © 2012, Campbell R. Harvey. All Rights Reserved.

Interest Subsidy

The value of the tax deductions of an individual's or company's earnings resulting from interest payments on its debt over the course of a year. Some interest may be deducted from one's taxable income, depending on the type of loan or how it was borrowed. Common examples of interest subsidies include the deduction on home mortgage interest and student loan interest. Under most circumstances, interest on one's business is fully tax deductible.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved
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Azerbaijan's Mortgage and Credit Guarantee Fund has amended the order on "Rules for issuing guarantee and interest subsidies based on business loans" signed May 25, 2018 by the Fund's management,Trendreports with reference to the Mortgage and Credit Guarantee Fund.
Net revenues include all revenues, fees, income, rents and receipts of the utility, as well as interest subsidies from the federal government.
In the 2018 budget 5,300 billion rupees have been allocated for interest subsidies under the Enterprise Sri Lanka program.
The report, entitled "The Far West Side: City's Hudson Yards Interest Subsidies Reduced in Near Term, Yet Future Subsidies Remain," found that the revenue generated from the project falls short of projections when the city issued $3 billion in bonds for the 7-line extension and other infrastructure improvements in 2005.
Under the latest plan, companies will receive low-interest loans or interest subsidies for daily expenses or to repair quake and tsunami damage, the Nihon Keizai Shimbun, or Nikkei, reported.
To maintain the current maximum grant of $5,550 and meet demand, the Obama administration would eliminate in-school Stafford Loan interest subsidies for graduate students and the policy of offering a second Pell Grant for undergraduates who enroll in college year round.
This paper discusses the problems that arise from interest subsidies in the UK system of student loans; systems in other countries, for example Australia and New Zealand, face similar problems.
The aid may be granted until 31 December 2010 in the form of interest subsidies or guarantees.
Some of the incentives include financial assistance through various types of transactions, including grants, loan guarantees and interest subsidies which translate into substantial reduction in overall project development costs, added Lee.
Enterprises suffering business difficulty from the typhoon damage will be entitled to a grace period of one year for the repayment of principal and interest for working-capital loans and three years for capital loans, as well as interest subsidies for fresh loans meant for the resumption of their operation.
A scheme for making scholarships available to students and providing interest subsidies on educational loans for professional courses is important for ensuring that nobody is denied professional education on account of lack of financial resources.

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