Money Skills Studio - Educational Tool

Franking Credits Calculator

See how dividend imputation actually works for your tax situation

Educational only - not tax advice. See disclaimer below.

🔒 Nothing you enter is saved or sent anywhere. All calculations happen on your device.

What are franking credits?

When an Australian company earns a profit, it pays 30% company tax. When it then pays you a dividend from those profits, the tax has already been partially (or fully) paid.

A franking credit is your share of that tax the company already paid. You declare the full amount (dividend + franking credit) as income, but you get credit for the tax already paid. If your personal tax rate is lower than 30%, you get a refund. If it's higher, you pay the difference.

This system stops the same profit being taxed twice. It's called dividend imputation and it's unique to Australia.

Your details

The amount that actually hit your account
Usually 100% (fully franked) for most ASX dividends. Check your dividend statement.
This is the tax rate on your highest dollar of income (FY2024-25 brackets)
You received
$1,000
+
Franking credit
$429
=
Gross dividend
$1,429
x
Your tax rate
37%

How it works

Franking credit
Tax the company already paid (dividend x 30/70)
$0.00
Gross dividend
Your dividend + the franking credit (total assessable income)
$0.00
Tax on gross dividend
What you owe at your marginal rate
$0.00
Less: franking credit
Tax already paid on your behalf
$0.00
Tax refund / (payment) on this dividend
$0.00
Enter your details above

What this means

Adjust the inputs above to see how franking credits work for your situation.

How to read your dividend statement ▸

Your dividend statement (or distribution statement) from your share registry or broker will show:

Dividend amount - the cash paid to you. This is what you enter above.
Franking credit - the tax credit attached. Sometimes shown as "imputation credit."
Franking percentage - usually 100% for big ASX companies. Sometimes 0% or partial.

You'll need all of these when lodging your tax return. Your tax agent or myTax will ask for them.

Want to understand how investing fits into your bigger picture?

Franking credits are just one piece. Coaching helps you understand where shares, super, and tax all connect.

A money coach can help you understand dividend statements, how franking credits affect your tax return, and how to think about investing within your overall financial plan.

Book a Free Discovery Call
No pressure. Just a conversation about where you're at.

This calculator is for educational purposes only. It is not tax advice and should not be relied on for lodging your tax return.

Assumptions: Company tax rate of 30%. Franking credit calculated using the 30/70 ratio. Medicare levy, low-income tax offset, and other offsets are not included. FY2024-25 tax brackets shown - these may change.

For your actual tax position, consult a registered tax agent who can assess your full income, deductions, and offsets.

Money Skills Studio does not hold an Australian Financial Services Licence (AFSL) or tax agent registration. This tool provides general information only.