課件相關(guān)presentation合集11

1、Qusetion11-3 Franking issues for companies Presenter: Kitty 42969093 Question Review Prado, a private company, pays a dividend of $1,400 on 1 July 2012 with $540 franking credits attached. The only other time Prado pays a dividend during the franking period is on 1 February 2013, when it pays a divi

2、dend of $2,800 with franking credits of $1,200 attached. Explain the tax consequences for Prado and for the shareholder who is paid the dividend on 1 February 2013.Maximum franking credit Maximum franking credit for a distribution is the maximum amount of e tax that the entity making the distributio

3、n could have paid on the profits out of which the distribution is paid(s 202-55). Using the formula to calculated the maximum amount（202-60） Prado pays a dividend of $1,400 on 1 July 2012 with $540 franking credits attached. $1,400 dividend x 30/70 = $ 600（maximum credit allowed）Franking percentage

4、Franking percentage（s 203-35） is calculated as： $ 540 / $ 600 x 100 = 90% All frankable distributions made by a company during a franking period must be franked to the same extent（s 203-35）. For private company the franking period is 12 months(s 203-40)Franking percentage Prado, a private company, p

5、ays a dividend of $1,400 on 1 July 2012 with $540 franking credits attached. The only other time Prado pays a dividend during the franking period is on 1 February 2013, when it pays a dividend of $2,800 with franking credits of $1,200 attached. 1 February 2013-franking percentage is 90% $2800 x 30/7

6、0 x 90% = $1080 Prado should attach $1080 franking credits. Over- franking Prado pays a dividend of $2,800 with franking credits of $1,200 attached. Prado should attach $1080 franking credits. Over-franking: the company has over-franked by 10% and has passed on $120($1200-$1080）too much franking credits. Breach of benchmark rule(s 203-50)-penalty for the company based on the difference between benchmark franking percentage and the franking percentage for the distribution. Consequences In this case: (1) Company is liable to $120 over-franking tax with no credit in the franking account for t