Should Gen Y and Gen X be punished for an ill-considered tax loophole invented by Howard to snag retirees' votes? Gen X Investment consultant, Harry Chemay, calls "fair go" — scrap the franking credits Kool-Aid! IT WAS the morning after the night before...
The cat is out of the bag. Bank shares have shot up since the surprise election result as new investors pile onto the great franking credits bandwagon. Sandi Keane reports.read more
John: Shares are riskier than Australian bank interest, right? Peter: Correct. John: It looks to me that the riskier investment gets the government support.read more
John: So, where do franking credits come from? Peter: The ATO, that's where franking credits are born ... think about franking credits like a gift voucher.read more
Brenda: So the government would give me $6,478 if I stopped working and owned shares instead. Peter: Seeing that the dole is $14,305, you’d nearly be getting half the dole, Mum.read more
John: Didn’t Kelly O’Dwyer put some sort of limit on how much you could end up with in your super fund? Peter: Yes. She capped it at $1.6 million. From 1 July 2017. John: $1.6 million? How many years is that going to take if you’re only allowed to put in $25,000 a year? Peter: Sixty-four years Dad.read more
John: Our paymaster says we’ve got to get onto the “John Howard offset”. That’s the one that really pays out. Peter: It’s the big one ... it’s not like all the other offsets, this one is the only one you might be able to get in cash.read more
"So, the government gives you money every time the Commonwealth Bank gives you money?" "Yes Dear"read more
Top 40 Tax Dodgers for 2019
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The Kitchen Table Series
A series of articles covering Franking Credits