Scott Francis's recent article, Coalition franking cuts to bite, revealed to me for the first time that overseas investors cannot claim franking credits. This seems to mean that companies that pay franked dividends are more valuable to Australian taxpayers than foreign investors. Could you please tell me what the motivations are for companies to pay franked and unfranked dividends? Are there laws governing profit size, that require upfront company tax being paid? Is it too costly for small companies to administer the distribution of franking credits? Are all gross company profits tax deductible once those profits have left the company as distributions?