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OB 49: ICA replacement payment by company under share-lending arrangement
or “Company records debit when paying replacement for borrowed shares”
You could also call this:

“Rules for recording imputation debits when receiving dividends in a returning share transfer”

When you’re an ICA company and you receive a dividend as a share user in a returning share transfer, you need to record an imputation debit. This debit is for the same amount as the imputation credit that was attached to the dividend you received. However, this rule doesn’t apply if the transfer is a share-lending arrangement.

You can find this debit listed in table O2 under row 23, which is called “returning share transfer”. The date you need to record for this debit is the same day that the dividend is paid to you.

It’s important to note that an ICA company is a type of company that uses an imputation credit account. This account keeps track of the tax credits that can be passed on to shareholders.

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Next up: OB 51: ICA credit transfer by company

or “Company receives a dividend with an attached imputation credit”
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Part O Memorandum accounts
Imputation credit accounts (ICA)

OB 50ICA returning share transfer

  1. An ICA company has an imputation debit for the amount of an imputation credit attached to a dividend paid to the company as a share user in a returning share transfer that is not a share-lending arrangement.

  2. The imputation debit in subsection (1) is referred to in table O2: imputation debits, row 23 (returning share transfer).

  3. The debit date is the day the dividend is paid.

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