Without Imputation
With Imputation
Imputation Benefit
Per $10,000 invested: $130 extra income per dividend payment
Full Breakdown
92 companies shown. Click any row to populate the calculator above.
| Company | DPS | Imputation | AT Yield @33% |
|---|---|---|---|
BRM BRM | $1.38 | 0.01% | 164.82% |
BAI BAI | 6.0c | - | 134.00% |
TEM TEM | $11.00 | - | 127.07% |
AIR AIR | 22.0c | - | 32.04% |
MFB MFB | 3.0c | 100% | 13.96% |
SDL SDL | 9.0c | 100% | 13.51% |
LIC LIC | 18.4c | - | 12.11% |
NZK NZK | 2.0c | 100% | 9.31% |
STU STU | 7.0c | - | 9.29% |
SPK SPK | 25.0c | - | 7.41% |
KMD KMD | 2.0c | 0% | 5.83% |
SKC SKC | 6.0c | - | 5.12% |
PGW PGW | 16.0c | - | 4.96% |
WHS WHS | 5.0c | - | 4.75% |
IPL IPL | 6.5c | - | 4.17% |
HGH HGH | 5.5c | 100% | 4.05% |
PCT PCT | 6.7c | - | 4.04% |
THL THL | 10.0c | 100% | 3.88% |
MHJ MHJ | 3.0c | - | 3.79% |
APL APL | 1.0c | - | 3.65% |
ENS ENS | 3.0c | - | 3.59% |
DOW DOW | 29.1c | - | 3.45% |
MEL MEL | 22.1c | - | 2.67% |
GNE GNE | 8.6c | - | 2.64% |
RYM RYM | 8.8c | - | 2.59% |
CEN CEN | 35.0c | - | 2.52% |
AGL AGL | 0.9c | 65% | 2.52% |
VSL VSL | 27.5c | - | 2.41% |
VCT VCT | 16.8c | - | 2.34% |
SEK SEK | 13.0c | 100% | 2.30% |
How imputation affects a fully imputed 25 cent dividend at a $5.00 share price across all NZ tax rates.
| Tax Rate | Income Range | Tax Without | Tax With Imputation | Saving | After-Tax Yield | Effective Rate |
|---|---|---|---|---|---|---|
| 10.5% | $0 - $14,000 | 2.6c | +6.1c refund | +8.7c | 6.22% | -17.5% |
| 17.5% | $14,001 - $48,000 | 4.4c | +3.6c refund | +8.0c | 5.73% | -10.5% |
| 30% | $48,001 - $70,000 | 7.5c | 0.7c | +6.8c | 4.86% | 2.0% |
| 33% | $70,001 - $180,000 | 8.3c | 1.7c | +6.5c | 4.65% | 5.0% |
| 39% | $180,001+ | 9.8c | 3.8c | +5.9c | 4.24% | 11.0% |
Key insight: At tax rates below 28%, investors on fully imputed dividends receive a tax refund. At 10.5%, the effective tax rate on a fully imputed dividend is just 10.5% on the gross amount, and the imputation credit generates a refund that exceeds the tax payable on the cash dividend alone.
Imputation credits prevent the double taxation of company profits in New Zealand. When a company earns profits, it pays 28% company tax. When it distributes those profits as dividends, investors would normally pay tax again at their personal rate.
Imputation credits attach to dividends to recognise the tax already paid at the company level. A fully imputed dividend carries credits equal to the full 28% company tax paid, calculated as dividend x 28/72.
How it works:
Company Profit
$1.00
Company Tax (28%)
-$0.28
Cash Dividend
$0.72
Cash Received
$0.72
Imputation Credit
$0.28
Gross Dividend
$1.00
The investor is taxed on the gross dividend ($1.00) at their marginal rate, but the imputation credit ($0.28) is offset against that tax. If the investor's tax rate is below 28%, they receive a refund of the excess credit.
New Zealand and Australia are among the few countries that use dividend imputation systems. Most countries (including the US) subject dividends to double taxation.
New Zealand — Imputation Credits
Company tax (28%) credited to shareholders. Excess credits refunded if personal rate is lower. Result: dividends effectively taxed once at the investor's marginal rate.
Australia — Franking Credits
Similar system at 30% company tax rate. Called "franking credits" instead of imputation credits. Excess credits also refundable. Slightly different mechanics but same principle.
United States — Double Taxation
No imputation system. Corporate profits taxed at 21%, then "qualified dividends" taxed again at 0-20% depending on income. No credit for corporate tax paid. Result: effective combined rate of 37-40%.
United Kingdom — Partial Relief
No imputation. Dividend allowance of GBP 1,000, then taxed at 8.75-39.35% depending on band. No credit for corporation tax (25%).
New Zealand's imputation system makes NZX dividends significantly more tax-efficient for NZ-resident investors compared to receiving dividends from US, UK, or other double-taxation jurisdictions.
Data sourced from publicly available records. Our datasets may not be complete. Automated analysis can produce errors. If you believe any data on this page is incorrect, please contact us at hello@nzxplorer.co.nz. For informational purposes only. Not investment advice.
For informational purposes only — not tax advice. Tax calculations are illustrative based on current NZ income tax rates. Consult a qualified tax adviser for your specific situation.
