45-day holding period rule

A franking integrity rule requiring shares to be held at risk for at least 45 days (90 for certain preference shares) around the ex-dividend date before the attached franking credits can be claimed. The day of acquisition and the day of disposal are excluded from the count. The small-shareholder exemption (s 160APHT) that lets individual taxpayers skip the rule does not apply to SMSFs. The boundary is the entity, not a dollar threshold.

Sources

Income Tax Assessment Act 1936 (Cth) s 160APHO
Income Tax Assessment Act 1936 (Cth) s 160APHT (small-shareholder exemption; individuals only)

General information only. Not a licensed financial service.