John Smith wrote on Feb 7^th, 2019 at 8:22pm:



See you are changing the argument. The employee doesn't pay the tax. The employer pays the tax on his BAS. He does so on behalf of the employee.

if the employer goes belly up, the employer is the one in default.

The employee does not pay the tax and has no liability if the employer goes belly up.

John Smith wrote on Feb 7^th, 2019 at 9:00pm:


Ok, I've worked out what you are on about. The employee pays the tax office the employees money that he is withholding from his employees. The only reason the employer can hold it is for tax purposes.

The employer is in default because it wasn't his money to start with.

stunspore wrote on Feb 7^th, 2019 at 9:26pm:

I have no mistake to fix. That's just your perception. I fully understand the franking system.

crocodile wrote on Feb 7^th, 2019 at 9:50pm:



lets see if mr smith is man enough to apolgise for his error 

Shareholders are not owners, any more than taxpayers are the owners of warships and such... shareholders are investors who hope to share in profits - again - not owners.

Time for some clarity in tax laws.

Pedro Curevo wrote on Feb 8^th, 2019 at 6:52am:


Comparing the tax arrangements from different jurisdictions has its own perils. Many US companies do in fact pay dividends. On the whole, they are lower than ours in terms of market cap. Like most other nations the US has its own means of dealing with the double taxation dilemma. They just don't call it imputation. Taxation on dividends in the US occurs at the capital gains tax rate rather than at the taxpayers marginal rate as is the case in Australia. CGT rates in the US are lower than ours and for those on lower tax brackets is zero. Naturally it then becomes easy to see why shareholders prefer the dividend to be reinvested. The tax rate is precisely the same regardless.

Pedro Curevo wrote on Feb 8^th, 2019 at 6:52am:


You're misinformed. Those with a substantial amount of money have nothing to worry about. Once above the tax free threshold they may make full use of their franking credits. It is those that are under the threshold that lose the franking credit. This includes lower income earners as well os those deriving their income from untaxed sources.

Pedro Curevo wrote on Feb 8^th, 2019 at 6:52am:


You're misinformed again. Super can never be a nest egg for beneficiaries of the will as it is not transferable. It does not inexhaustibly grow in retirement as no further contributions can be made in this phase, only withdrawals. Once the superannuant kicks the bucket the beneficiaries of the will may cash out the remaining super but the full rate of tax applies.

Shorten is playing on people's ignorance by hinting that he's being fair when he isn't. He just wants a cash grab because he can't fund give aways. Self evident by the fact that he is not cutting taxes elswhere in compensation. He can get fukked.

philperth2010 wrote on Feb 8^th, 2019 at 10:03am:

It has been taxed. The company withheld the tax before paying the dividend.