Companies
• The franking percentage for distributions to shareholders should be the same for each franking period to avoid a franking deficit tax.• A private company has four months after the end of the income year to provide its shareholders with a distribution statement for dividends paid.
• Loans, payments and debt forgiveness by private companies to their shareholders and associates should be repaid by the earlier of the due date for lodgement of the company’s return for the year or the actual lodgement date. Alternatively, appropriate loan agreements should be in place.