Only just got back in , and the other down load is more interesting. The number didn't come from this lot, but from the ATO figures on total refunds of credits, I'll ferret it out. But look like ballpark compared with numbers in these figures.A quick read of that, the figures don't make sense to me.
Just a flavour[on a quick glance, lots more]: table c5 for individuals: over 109k taxable
now my numbers give about 32,700 fc for someone on 109 taxable, if it is ALL fully franked dividends.
tax on 109k about 28k
therefore refund 4700 dollars
tax on 180000 54 k
max fc for that person is 54k
refund 0
tax on 150k about 43000
fc max 45k
refund 2k
And of course it gets worse after 180k because the marginal rate is 47c in dollar[no one in this group gets a refund].
So how can the average claim for refund be 11800 dollars in the post 109k taxable income group?
I MUST be missing something, what have I got wrong?
Plus table C6 on smsf's, the [inconsequential ] large funds seem to be contributing greater than 50% of the claims for excess credits.
Any help pointing out the fallacy gratefully accepted, I must have got it wrong?
Going out now, printing it all out, if I don't drink too much, I'll read it in bed.
It's interesting that it's that large but I guess the over 109k group are much more likely to actively engage in taking opportunities involving share ownership. The first thing they could do that doesn't involve a lot of trading is to borrow money to buy shares. Then there could be trading strategies that involve holding shares for a relatively short period (but long enough!) while they go ex-dividend but I can't see how that's worth doing when you have a high marginal tax rate. Then there's gearing on anything else such as property and a superannuation contribution deduction.
So the only thing I can think of apart from a super contribution that definitely has value is turning up the gearing.
