Quote Originally Posted by upside_umop View Post
I think we're on different wavelengths mushie. Contributions from equity participants are not taxable...that is what I am referring to. What happens immediately!

If its a simple prop up of the company (because it cashflow negative) its not tax deductible, simple as that. I'm not talking about future cashflow...I'm talking about propping up an equity position.

We were never talking about dividends. Interest is not a factor if we are buying a company with out-right cash - which is what would be happening if it was a cash injection to prop up a company.

Enough about this anyway...

Yes. The subject was interest payments which decrease your taxable position if interest rates rise, and increase it if they fall. You came up with this introduction of capital to a company and purcasing shares.