PTC Help please Dec 06 paper

Emma1708

Task 1.4b - calculate the payments on accounts for tax year 2008/09 stating their due dates.

I did the tax liability of £10072.65/2

The answer is £10072.65 - £3050 then divided by 2. I cant see where the £3050 comes from, can anyone help?

Its probably something really stupid but I am panicking now - I thought my revision was going well!

Thanks

x

immense

Hi Emma - I will go and look at this now and see if I can find out for you!!

Emma1708

Thank you

immense

Emma - it is the total of the Dividends, BSI and PAYE already paid in 1.3!

Emma1708

Thanks for that. So when payments on account are calculate it is 50% of the tax payable after deductions at source, is that right?

immense

Sounds about right to me!! you divide by 2 as you pay half at 31/01 and the remainder at 31/07 following year!! Hope this makes sense - I did PTC last december so a lot of it has gone out of my mind - lol!! But you definitely DON'T include deductions at source in your calculation as you have already paid them!

Emma1708

Thank you, its much appreciated!

x

immense

No problem xx