Tag Archives | company tax

credits

Franking credits lament: was it worth it?

Labor justified its franking credits policy based on the cost rising 10-fold since 2001 and heading towards unaffordable levels. But were the numbers right and would the savings ever have eventuated?

value for money in active management; company tax

Franking credits made easy

A reader has asked for the simplest possible explanation of dividend imputation and franking, as the heated debate features many people who do not understand the basics.

company tax

Let’s get the numbers right on imputation

Every day, an expert writes somewhere about the adverse impact of a reduction in franking credits due to a lower company tax rate. This tax rate has no impact on the after-tax returns received by Australian shareholders.

franking credits franking refunds

Do franking credits matter?

Imputation is seen as a costly tax break for domestic shareholders with minimal associated benefits for the overall economy, but any changes to the system should consider some broader consequences.

Register for our free weekly newsletter

New registrations receive free copies of our special investment ebooks.