Correct Kitty. By keeping the franking credits from pensioners and self funded retirees, the Government is taxing their share of the profits @ 30%. Up to a limit, self funded retirees dont have to pay tax and rightly so, as they get few If any benefIts that pensIoners get. I don't know why they just don't use the $1.6m SuperannuatIon threshhold recently introduced. Below $1.6 million you get the frankIng full credit refund. Above you you get half to ensure you pay 15%. Most wouId accept thIs as fair or is that just to much common sense?
The Labour Party should stop kicking the self funded retirees.
Ann: Update - Dividend/Distribution - TLS, page-17
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