Subsection 67.5(1) - Non-deductibility of illegal payments
1.91 Interest thereon. The restriction or prohibition of the deductibility of an expense under a specific provision…may also extend to interest paid on borrowed money used to pay the expense. In some situations, the wording of a particular provision will extend to any expense incurred in respect of a given use such that the interest expense would also be denied (for example, section 67.5). In other situations, the wording of the provision would not, in and of itself, restrict interest deductibility (for example, section 67.1).