Sorry, I am not sure what you are saying.
I was simply trying to emphasise that it doesn't matter whether the income is derived from a trust or LIC... the shareholder ultimately pays the same amount of tax and consequently the net benefit is the same.
A crude example....
A LIC pays a franked dividend of $10 (grossed up). This consists of $7 in the hand and the $3 franking credit.
A trust pays an unfranked distribution of $10 which you receive in the hand.
In both scenarios you pay the same tax, receive the same net benefit.
I am therefore always confused when people try to emphasise the benefit of franking credits and how trusts lose out to this. It makes no sense. There are countless articles detailing this myth... however it persists.
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