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How long do I have to hold a share to get the dividend?

How long do I have to hold a Share to get the Dividend?

There is no minimum time. Rather, you have to own the share when it goes "Ex-Dividend". The Ex-Dividend date is published in the Australian Financial Review on Mondays and also on the ASX web site. This date is the first date on which trading takes place after the dividend.

So, supposing the Ex Dividend day was Thursday 29 May, if you had bought the share on Wednesday 28 May, or any earlier day and not sold it, then you are entitled to the dividend. If you sell it on or after 29 May, you still receive the dividend.

A quite separate issue is that if the dividend is franked, you must hold the share for 45 clear days (the total of days before and after the Ex date) if you are to claim the imputed credit. The Tax Department rules for working out the exact number of days are a little complicated and you should refer to the Tax Department material on this subject. There are also rules about your ability to claim the imputed credit if you have derivative instruments in the same stock, that have the effect of not placing your capital at risk during this period, that you may have to be aware of.

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