As a result of the Simplified Imputation System (SIS), the rules concerning how to frank a dividend and for determining the amount that can be franked have changed.
The SIS affects the way companies distribute their taxed profits, as well as the dividend strategies used to maximise shareholder value.
Topics covered in this seminar included:
- the imputation changes and how franking has been simplified
- the implications of simplified imputation for dividend policies/strategies
- valuing the benefit of franked dividends for shareholders in light of recent legislative developments
- returning funds to shareholders and maximising shareholder value
- maximum franking percentage and the benchmark rule (including disclosures to the ATO)
- interaction with tax consolidation rules
- impact on accounting note disclosures
- changes to the Simplified Imputation rules since their introduction.