Dividends paid by New Zealand resident companies that have chosen to join the Australian imputation system may also carry franking credits.
Did the fund receive assessable franked distributions from a New Zealand franking company directly or indirectly through a partnership or trust?
No |
Go to F Transfers from foreign funds. |
|---|---|
Yes |
Show at E the amount of Australian franking credits attached to the distributions that are included in assessable income adjusted as follows. |
To work out whether the distribution is assessable, see the Foreign income return form guide.
You must reduce the Australian franking credits that the fund received directly or indirectly from a New Zealand franking company by:
- the amount of a supplementary dividend, or
- the fund’s share of a supplementary dividend
if
- the supplementary dividend is paid in connection with the franked dividend, and
- the fund is entitled to a foreign income tax offset because the franked dividend is included in the fund’s assessable income.
Show the amount of Australian franking credits included in assessable income at:
- C2 Rebates and tax offsets item 12 for a non-complying fund
- E1 Complying fund's franking credits tax offset item 12 for a complying fund or PST.
A dividend from a New Zealand franking company may also carry New Zealand imputation credits. An Australian resident cannot claim New Zealand imputation credits.
If the franking credit is attached to a dividend that is non-arm’s length income of a complying superannuation fund, complying ADF or a PST, the franking credit (along with the dividend) should be shown at U Net non-arm’s length income.