Do franking credits matter? Exploring the financial implications of dividend imputation

Andrew Ainsworth, Graham Partington & Geoff Warren
We examine the implications of the imputation system for stock prices and returns, cost of capital, project evaluation, capital structure, payout policy and investor portfolios. We also discuss potential impacts if the imputation system was dismantled or adjusted, perhaps in conjunction with a reduction in the corporate tax rate. A key theme is that the financial effects of imputation are often contentious. Most notably, the impact of imputation credits on share prices and cost of...
This data repository is not currently reporting usage information. For information on how your repository can submit usage information, please see our documentation.