Find your deductible risk-free return
The deduction for risk-free return is a deduction that reduces your taxable share income so that you pay less tax.
The risk-free return calculator helps you to calculate tax-free dividends and gains on share income.
A shareholder’s deduction for risk-free return in the individual year is the share’s input value (plus any previously unused deduction) multiplied by a risk-free interest rate.
Only when you receive a dividend that exceeds the total deduction for risk-free return (the year’s deduction + unused deductions from previous years) will the dividend be subject to tax. In the event of realisation (e.g. gain in the event of a sale), the shareholder can reduce the gain by unused deductions for risk-free returns from previous years. If you own the share for a number of years and do not receive any dividends or the risk-free return exceeds the dividend for the year, you'll accrue unused deduction for risk-free return that you can use in subsequent years to reduce your taxable share income.
Note that the deduction for risk-free return follows the individual share and cannot be transferred to other shares.