Company: GVH
Filing Date: 2025-02-12
Form Type: 20-F
Source: 0001493152-25-006117
Chunk: 150

Company: Globavend Holdings Ltd
Filing Date: 2025-02-12
Form: 20-F
Item: Item 3
Chunk 150
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 and 2024.

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  Table of Contents  

Taxation of
Australian Resident Holders

Taxation of
Dividends

Dividends paid by
us on our Ordinary Shares should constitute the assessable income of an Australian Resident Holder. Australia operates a dividend imputation
system under which dividends may be declared to be “franked” to the extent they are paid out of company profits that have
been subject to income tax.

Individuals and
complying superannuation entities

Australian Resident
Holders who are individuals or complying superannuation entities should include the dividend in their assessable income in the year the
dividend is paid, together with any franking credit attached to that dividend.

Subject to the comments
concerning ‘ Qualified Persons’ below, such Australian Resident Holders should be entitled to a tax offset equal to the franking
credit attached to the dividend. The tax offset can be applied to reduce the tax payable on the investor’s taxable income. Where
the tax offset exceeds the tax payable on the investor’s taxable income, the investor should be entitled to a tax refund equal
to the excess.

To the extent that
the dividend is unfranked, an Australian individual Shareholder will generally be taxed at their prevailing marginal rate on the dividend
received (with no tax offset). Complying Australian superannuation entities will generally be taxed at the prevailing rate for complying
superannuation entities on the dividend received (with no tax offset).

Companies

Australian Resident
Holders that are companies are also required to include both the dividend and the associated franking credits (if any) in their assessable
income.

Subject to the comments
in relation to ‘ Qualified Persons’ below, such companies should be entitled to a tax offset up to the amount of the franking
credit attached to the dividend. Likewise, the company should be entitled to a credit in its own franking account to the extent of the
franking credits attached to the distribution received. This will allow the Australian Resident Holders that are companies to pass on
the franking credits to its investor(s) on the subsequent payment of franked dividends.

Excess franking credits
received by the company shareholder will not give rise to a refund entitlement for a company but may be converted into carry forward
tax losses instead. This is subject to specific rules on how the carry forward tax loss is calculated and utilized in future years. For
completeness, this tax loss cannot be carried back under