• Duenan@aussie.zone
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    2 months ago

    Let’s say I have a dividend payout of 20cent and it’s 100% franked.

    If it’s fully franked do I only get 20cents? or more than 20c?

    • Bottom_racer@aussie.zone
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      2 months ago

      You get (20c / (1-0.3)) -20c = A franking credit of about 8.5c

      so you’re ending up getting 20c + 8.5c or 28.5c. It’s to avoid double taxation.