Franking
/ˈfræŋ.kɪŋ/
Definitions
- (n.) The imprint or mark on mail indicating postage has been paid or waived, often used by government officials to send official correspondence without postage charge.
The senator used franking privileges to send letters to constituents without paying postage.
- (n.) In securities law, the credit for tax paid on dividends passed to shareholders, preventing double taxation of corporate earnings, also known as a franking credit.
Investors received franking credits that reduced their tax liability on dividends.
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Commentary
In law, 'franking' most commonly refers either to postal privileges or to shareholder tax credits; context determines usage.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.