Ann: Term Loan Repaid, page-87

The way dividends work (for NZ residents only-overseas is different depending on where it's paid), is that every dividend has to have 33% tax deducted when paid, its possible to "pay" up to 28% of this with imputation credits (tax the company has paid on its profits). If there are not enough imputation credits then the company will be deducting the whole 33%. Note that any dividends paid in NZ to NZ residents (apart from exceptions within group companies etc.) will have at least 5% dividend withholding tax deducted (the difference between 33% deduction and 28% maximum imputation credit)