Transitional rules

The transitional phase applies if the corporate tax entity was actively involved in the imputation system over 30 June 2002 to 1 July 2002. The franking account under the former imputation system recorded the value of dividends that could be passed to shareholders as fully franked dividends by the corporate tax entity. The franking account under the simplified imputation system records the value of tax paid. That is, the amount of franking credit that can be attached to a distribution.

    Last modified: 09 Jul 2014QC 17505