I just had a question regarding franked dividends.
If for example: I earn $100,000 per year and am taxed at 4th tax bracket
and then receive $100,000 in dividends, which is then taxed at 30% (franked)
so I receive $70,000net.
My income then becomes $100,000 gross + $70,000 net.
Am I then pushed into the higher tax catagory for my personal income of $100,000?
e.g. I am no longer in the 4th bracket, but go into the 5th bracket.
And also does the $70,000 net have to be taxed at a higher rate?
or are the two calculated seperately?
Hope someone can shed some light on this.