Show download pdf controls
  • The dividend statement

    Attention

    Warning:

    This information may not apply to the current year. Check the content carefully to ensure it is applicable to your circumstances.

    End of attention

    If an Australian company pays or credits you a dividend, or a non-share dividend, the company should also send you a statement advising:

    • the amount of the dividend that is unfranked
    • the amount of the dividend that is franked
    • the amount of imputation credit
    • the amount of tax file number (TFN) withholding tax deducted if you have not quoted your TFN to the company.

    In the following example there is an example of a shareholder dividend statement.

    Example

    On 15 February 2002 an Australian resident company, Coals Tyer Ltd, paid John Citizen, a resident individual, a fully franked dividend of $700 and an unfranked dividend of $200. John received the dividend statement shown below from Coals Tyer Ltd.

    Coals Tyer Limited
ABN 00 000 000 000
Shareholder dividend statement
Notification of 2001 final dividend - paid 15 February 2002
Security description ordinary shares
Number of shares 6,400
Unfranked amount $200
Franked amount $700
Imputation credit $300
TFN amount nil
Net dividend $900
Please note that your tax file number has been received and recorded.
Please retain this advice for taxation purposes as a charge may be levied for a replacement.
Please advise promptly in writing of any change of address.

    End of example

    We will follow the COALS TYER example through the next few sections of this publication to see what John needs to do with the information.

    Example

    John Citizen's assessable income for 2001-02 in respect of the dividend is:

    Amount of franked dividend

    $700

    Imputation credit

    $300

    Unfranked dividend

    $200

    Total assessable dividend income

    $1,200

     

    End of example

    If these were the only dividends John was paid or credited for the income year, he can transfer these amounts directly to item 11 on his 2001-02 tax return.

    Last modified: 13 Dec 2019QC 27432