Does anyone know how ANZ BOPs should be treated for tax purposes (inividual return)?
in a dividend reinvestment Plan (DRP) arrangement you are effectively paid the cash & then you repurchase the shares from that cash/ YOu also get full details of franking arrangements.
My reading (various ATO docs etc) is that they are not income (there is no franking or unfranked amounts & no imputation credits, therefore they are effectively an asset/capital so would be taxed on sale as a capital gain event?
ATO have referred me to ANZ stating that if its a bonus issue then the company is required to advise tax implications to its shareholders
ANZ (computershare) won't give advice is that they are not allowed/qualified to give tax advice because it differ depending on circumstances
The last thing I want to do is not declare them as income & then end up with a huge tax bill.
THks in advance