Chairman Geoff Wilson AO said that the inquiry into the implications of removing refundable franking credits was a win for the industry.
“We all won a significant battle in the war to maintain the current imputation system,” he said.
Mr Wilson and Wilson Asset Management had conducted a poll of over 3,000 people and found out the effects the removal would have.
“The appalling and destructive nature of Labor’s proposed policy was highlighted by the findings of our poll,” he said.
The poll found that 52.9 per cent of respondents would be forced to reduce their living standard and quality of life said Mr Wilson.
“Over half would be forced to reduce their family’s living standard and quality of life in order to accommodate for the dividend imputation changes,” he said.
Mr Wilson said that the proposal would turn a lot of voters away from Labor as well.
“23.7 per cent currently vote Labor, 2.9 per cent vote Greens and 4.9 per cent vote independent. The majority of respondents, 59.5 per cent, will change their vote due to this proposal,” he said.
The standing committee on economics is currently accepting submissions and Mr Wilson said his company would be putting pressure on Canberra.
“If we all continue to pressure the Liberal government, Labor opposition and cross-benchers we can stop this policy in its tracks,” he said.
I am an angry man I have a SMSF and will lose 40% of my income which I use to also support sick family members with! This Labor party is insane and belong in a mental institution!
TAKE AWAY FRANKING CREDITS AND I WILL SOON GET REAL FREE MONEY BY GETTING ON TO THE PENSION AND RESULTING IN COSTING TAXPAYERS TO SUPPORT ME ….
Under the present system the franking credit is considered to be the income of the shareholder . The share holder must declare the franking credit as income on their personal tax return in the income section – dividends – franking credits . The ATO hold the franking credit as an asset of the shareholder until the shareholders taxation liability has been established . Labor is proposing to confiscate any ” excess ” franking credits / income from a very limited number of Australian citizens . For a government to confiscate a part of a citizens income without justification can only be described as theft and a corruption of the taxation system .
We’re talking about people who don’t pay tax – who have no taxation liability. There’s no issue with franking credits being used to offset tax liabilities.
People talking their books get a bit tiresome. Yeah, in theory people’s lifestyles will be reduced if they get less free money but their lifestyles will also be reduced if Governments continue to reduce services because they are not receiving company taxes at all when franking credits are paid to people who don’t pay tax.