The Australian franking credit policy is a very unusual and generous way of dealing with the shareholder/company tax position. Yogihc you can take whatever view you like of it because it doesn't matter what you think. There is no absolute in any of this and whether you get a franking credit or franking credit refund or not is entirely dependent on government legislation. Companies are taxable entities and shareholders are a separate taxable entity, so you certainly don't have any intrinsic right to tax credits or refunds from tax a company you own shares in has paid, and in most of the world you don't get any. The already generous gift of franking credits legislated by an Australian Labor government was taken another step when the Howard Liberal government extended that to include refunding of franking credits where the shareholder did not have any tax liabilities to offset. Labor have decided this is just being a bit too generous and the economy can not afford to maintain doing so and will stop paying franking credit refunds if they form government, although they have modified that a bit to exclude pensioners and beneficiaries who have been collecting some. Most of the franking credit refunds are being paid out to wealthy retirees who pay no tax on their quite substantial retirement incomes with very wealthy retirees collecting about 80% of the money being refunded. So yogihc as to what you do with your investments if this change takes effect, that's completely up to you. I couldn't care less what you do with your money and I doubt anyone else cares either. Dave R.