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Refund of franking credits information – 2012–13

Information on refund of franking credits 1 July 2012 to 30 June 2013 (NAT 6716).

Last updated 9 February 2017

Franking credits attached to the franked dividends received by your organisation may be refundable, provided certain eligibility criteria are met, and your organisation is any of the following:

  • a charity endorsed by us as exempt from income tax
  • a fund endorsed by us as an income tax exempt fund
  • a deductible gift recipient
  • a developing country relief fund
  • an exempt institution that is eligible for a refund under an Australian Government law other than the income tax law.

Franking credits arise for shareholders when certain Australian-resident companies pay income tax on their taxable income and distribute their after-tax profits by franked dividends. These franked dividends have franking credits attached. Franked dividends are received either directly as a shareholder or indirectly as a beneficiary of a trust.

Non-profit organisations that receive a dividend from a New Zealand (NZ) company with Australian franking credits attached to it will be able to obtain a refund of those credits, if they would have been able to obtain a refund had the dividend been paid by an Australian company.

NZ franking credits cannot be claimed.

If the NZ company that paid the dividend has not specified that the franking credit is Australian, you should contact the company to work out if it is an Australian or NZ franking credit. In most cases, if it is not specified as Australian, it will be a NZ franking credit.

Eligibility for a refund of franking credits for 1 July 2012 to 30 June 2013.

Applying for a refund of franking credits for 1 July 2012 to 30 June 2013.

Anti-avoidance rules that apply to a refund of franking credits for 1 July 2012 to 30 June 2013.