Franking credits

I CANNOT understand all the angst from letter writers about franking credits.

If I buy shares in a company, I then become a part owner. At the end of the tax year my shares have earned $100 profit. If I have not given my tax file number to the company, they must deduct tax at the highest marginal rate of 47 per cent.

This means that instead of them paying me my $100, they give $47 to the taxation department. I get $53.

I only earn $18,000 per year hence I am in a tax-free threshold. When I put my tax return in, the taxation department returns my $47 as a refund. This is my money, returned to me by the tax office. It is not a handout. It is my money, not the government’s money. Taking refunds away from self-funded retirees is theft. To all those complaining that returning the $47 to me is welfare for the greedy, think again. Put your tax return in this year and claim your refund for overpaid tax. How would you feel if Labor were to steal it off you for the government coffers?

I bet you would squeal even louder to the letters page editor then. Glennys Brieley, Koah PRIVACY POLICY: Our privacy policy www.apnarm.com.au/privacy includes important information about our collection, use and disclosure of your personal information (including to provide you with targeted advertising based on your online activities). It explains that if you do not provide us with information we have requested from you, we may not be able to provide you with the goods and services you require. It also explains how you can access or seek correction of your personal information, how you can complain about a breach of the Australian Privacy Principles and how we will deal with a complaint of that nature. CONDITIONS: Letters must be 150 words or fewer. Send them to PO Box 126, Cairns 4870 or email letters@cairnspost.com.au. They must include your name, home address and telephone number. Letters that can not be verified will not be published. The Cairns Post reserves the right to edit all letters and reproduce them in electronic form. TXT messages should be short. Include your name and suburb. Your TXT messages will be printed in TXT language. Normal call costs apply. Please check The Cairns Post website for our privacy policy at www.cairnspost.com.au