On 11 September 2019, the Australian Taxation Office (ATO) released an updated version of Practical Compliance Guideline (PCG) 2017/2 concerning the eligibility criteria for applying simplified transfer pricing record keeping options for low-level related party inbound and outbound loans.
The amendments to the PCG includes that the interest rate is no more than 2.33% in the 2020 income year in respect of inbound loans, and no less than 2.33% in respect of outbound loans (the rate is 3.76% for the 2019 income year).