Section 109D of Division 7A of Income Tax Assessment Act 1936 (ITAA 1936), states that a loan includes the following:

1. An advance of money;

2. A provision of credit or any other form of financial accommodation;

3. A payment of an amount for, on account of, on behalf of or at the request of, an entity, if  there is an express or implied obligation to repay the amount; and

4. A transaction (what ever its terms or form) which in substance effects a loan of money.

The Australian Taxation Office (ATO) also states that the loan is made to an entity at the time the amount of the loan is paid to the entity by way of loan, or anything described above is done in relation to the shareholder or their associate.