See Item 11 - Dividend Income on the ATO website for further information.
This item is about dividends franked and unfranked that you received during the current income year from Australian companies in which you owned shares.
Use the Gross Dividend worksheet (div) to record the individual transactions and then share some or all of them with a co-owner if required. These transactions may be entered in dollars and cents.
TFN withheld amounts are shown in dollars and cents and total amounts in whole dollars at the return labels S, T, U and V when you close the div. See Gross dividends worksheet (div).
There is a Quick access point to the Dividend deductions worksheet (ddd). The ddd has been removed from Tax in 2019 due to the introduction of the ATO's new Deductions schedule.
From 1 July 2018, you should not use this Quick access point when preparing an individual return.
Deductions relating to Dividend income must be entered at item D8.
You can use the ATO's Pre-fill report to complete this item. Doing so will avoid the necessity of sharing this income with another taxpayer as the Pre-fill report contains only the taxpayer's share of that income.
Label S - Unfranked amount
This is the total of amounts entered on the Dividend worksheet (div) for Unfranked dividends rounded down to the nearest dollar. If the worksheet is not used, key the amount to be included in assessable income. Show only the taxpayer's share of any jointly held Unfranked dividends.
When entering Unfranked dividends for non-residents, select from the list the rate of tax to be applied to the Unfranked dividends. 30% is the default rate. This is only required for the correct calculation of the withholding tax to be included in the tax estimate.
Click this link for Special circumstances and glossary information on Non-resident withholding tax on the ATO website.
Label T - Franked amount
This is the total of amounts entered on the worksheet for franked dividends rounded down to the nearest dollar. If the Dividend worksheet (div) is not used, key the amount to be included in assessable income. Show only the taxpayer's share of jointly held dividends.
Label U - Franking credits
This is the total franking credit calculated in the worksheet at 30% of the amount entered as the Franked amount for each transaction. If the Dividend worksheet (div) is not used, key the amount to be included in assessable income. Show only the taxpayer's share of jointly held dividends.
Label V - TFN amounts withheld
This is the total amount entered on the worksheet for tax withheld where no TFN was quoted. If the Dividend worksheet (div) is not used, key the amount to be included in assessable income. Show only the taxpayer's share of jointly held dividends. The total amount of tax withheld cannot be more than 50% of the Unfranked amount.
CCH References
4-100 Overview: Taxation of dividend recipients
4-110 What is a dividend?
4-120 When is a dividend paid?
10-490 Dividends and distributions
