Dividend reconciliation
Statement Purpose
This statement allows for tax adjustments to the amount recognised in the net accounting profit or loss of the group for the period in respect of dividends by component and calculates the total of those components for tax purposes (including relevant income components of domestic partnership and trust distributions).
Data Flow
The Dividends (gross of withholding tax) row is linked from the
Dividend information
statement. The foreign income amount is converted to a net amount by deducting the foreign income tax offset component.Dividend components received via trust distributions are linked from the
Distribution entitlement summary
statement.Component totals from this statement link to other backup statements.
The
Dividends reconciliation
section deducts the opening and adds back the closing balance of Dividends receivable
from the accrued dividend amount as at the same date. This determines the adjustments required in the tax reconciliation statement for: dividends recognised for accounting purposes in the current year but not derived for tax purposes, and dividends recognised for accounting purposes in the prior year but derived for tax purposes in the current year. Explanation of Fields
Credits denied
Franking credits disallowed due to the operation of the 45-day rule or alternative benchmark rule, and any other adjustments required to the various components, must be manually entered.
Dividend reconciliation section
The Dividend reconciliation section checks that the information in the
Dividend information
statement corresponds with dividend information in other schedules. There should be no variance in the variation
cell.Signage
- All increases to the assessable income of a component should be entered as a positive amount.
- All decreases to the assessable income of a component (including the disallowance of imputation credits) should be entered as a negative amount.