Mattao,On the instalments, we are getting a bit technical for...

Mattao,
On the instalments, we are getting a bit technical for the other posters, but you are right that the tax for 30 June 2011 will be paid in a lump sum when the tax return is lodged if they haven't varied their instalment rate (i.e. it will be nil based on the year before). However, am I right in saying this isn't actually due until the end of February (i.e. because EXS was not taxable the year before)?

AGREED - TAX WILL BE PAYABLE 28/2/11

Not sure when their franking year ends (i.e. is it 31 Dec or 30 June)? They may have to lodge the return early (i.e. in Dec) if it is the former.

FRANKING YEAR END IS THE SAME AS TAX YEAR END IE. 30/6/11

I gather they then pay in instalments going forward

YES. NOTE INSTALMENTS WILL BE BASED ON ACTUAL INCOME THEY MAKE EACH QUARTER IE. THEY WILL NOT NEED TO PAY TAX AT THE SAME RATE AS 10/11 WHEN THEY PAY THEIR INSTALMENTS.