Franking credits represent the tax a company has already paid on any profit it distributes to shareholders as a dividend. Franking credits are declared, along with the dividend, as income and then the credits reduce a shareholders tax liability and in some cases can result in a tax refund.

What are franking credits?

The basics of franking credits

  • Understand the basics, follow the examples and try the calculator here.

How franking credits work & who benefits?

The Alliance for a Fairer Retirement System

  • The ASA is a participating member of the Alliance for a Fairer Retirement System which exists to represent millions of senior Australians, shareholders, self-funded retirees planning for a sustainable retirement.
  • The Alliance came together around the proposed franking credit tax change, and is now encouraging the government to commission a review of the retirement income system so that sound policy can be implemented. The Alliance’s Objectives