Initially, I set up a hybrid trust in order to claim tax on interest on the LOC loan to purchase unit trust. The hybrid trust has been set up via a law firm. Then, my accountant said this trust cannot be flexible to distribute income to family members. As I forgot about the original reason for set up hybrid trust, then I let her set up a new family trust. I have already signed contract to buy a IP and set up loan via this family trust. Now, I read forum threads again and notice that I cannot claim interest on the LOC against PPOP to deposit for this IP for tax deduction. Can I lend money from LOC to family trust with interest rate same as LOC interest rate? and document required? The a portion of the LOC has been used to deposit for other IP under my personal name. If I use this LOC to deposit for this new IP, will the LOC be contaminated?