As a Tax Accountant (Retired) you would be aware that Franking Credits were introduced to stop double taxation which is fair. There is no problem with Franking Credits.
As a shareholder you are a part owner of a company, if that company pays dividends to you as income after paying company taxes you should have that taxed portion credited to you, if it is more than you should have paid in tax based on your tax rate, you get some back. If it is less, you pay the difference.
If your income is at a level that leaves you still in the tax exempt bracket, you should get it all back.
You see so many people bitching about Franking Credits in comment sections of media articles that have zero comprehension of what Franking Credits are.
Some companies pay profits to their shareholders before tax, REIT's a common one, and each shareholder is responsible for doing their tax on said dividends and the same rules apply. They pay there marginal tax rate on those dividends. Someone on a lower tax rate would pay less than someone on a higher rate. Someone still on a tax free threshold would get it all back.
