U.S. Code of Federal Regulations

Regulations most recently checked for updates: Sep 22, 2023

31.205–20 - 31.205-20 Interest and other financial costs.

Interest on borrowings (however represented), bond discounts, costs of financing and refinancing capital (net worth plus long-term liabilities), legal and professional fees paid in connection with preparing prospectuses, and costs of preparing and issuing stock rights are unallowable (but see 31.205–28). However, interest assessed by State or local taxing authorities under the conditions specified in 31.205–41(a)(3) is allowable.

[64 FR 51844, Sept. 24, 1999]