Hi all,
I'm just trying to get my head around the difference between the DRP and BSP.
My understanding (and please correct me if I'm wrong:
The DRP is treated as a dividend and therefore tax assable as income and entitled to franking credits.
The BSP is not treated as tax assessable income, not eligible for franking credits but has zero cost based for eventual CGT calculations.
I have currently opted for the DRP but thinking I might change to BSP given the dividends are only patially franked.
Does anyone has an opinion on the two different options?
Thanks
Rhys
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