Franking

Franking is also the passing-on of franking credits to shareholders in countries that have dividend imputation to reduce or eliminate double taxation of company profits.

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Franked.jpg
An example of a franked mailing
Franking is the right, typically granted to certain elected officials by the government, to send mail for free. An authorized person exercises the franking privilege by adding his or her signature or a facsimile thereof to the upper right corner of a letter or parcel in lieu of a postage stamp.

A limited form of franking originated in the British Parliament in 1660, with the passage of an act authorizing the formation of the General Post Office. In the United States, franking predates the establishment of the republic itself (the Continental Congress bestowed the privilege on its members in 1775), and the First United States Congress enacted a franking law in 1789 during its very first session. In the 19th century, as use of the post office exploded in Britain, it was expected that anybody with a Parliament connection would get his friends' mail franked. Today, the US President and members of the Senate and House of Representatives are allowed to send franked mail to their constitutents, as can the Governor General of Canada and members of the Canadian Senate and House of Commons. In Canada, citizens and residents may also send mail to senators and members of the Parliament of Canada at Parliament Hill postage-free.

In countries where franking is practiced, the privilege has long been considered an important tool for keeping elected officials in touch with their constituents, but its use is also frequently criticized as a way for officials to campaign for reelection and otherwise glorify themselves at the government's expense. Officials are usually not given a blanket right to send mail for free, but instead are subject to oversight and regulation and sometimes must comply with budgetary restrictions and disclosure requirements.

Common uses of the franking privileges include replies to letters sent by constituents, and so-called "constituent mailings," brief newsletters intended to keep citizens apprised of goings-on in the legislative body to which the member belongs.

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