As your answers look like this ?
MOHMEDSALIM PATEL
Registered Posts: 184 Dedicated contributor 🦉
WILL YOU PLEASE TAKE A MINUTE AND DIRECT ME WHERE I WENT WRONG ?
Task 1
Capital allowances 71442
Assessable trading income 126928
Emily’s shares of profit 105196 and Ismail’s 21732
Task 2
Adjusted trading profit after capital allowance 347173
Chargeable gain =150,000-[100,000 X 150,000/ 150,000 +500,000]=23077 X
.571 indexation allowances [13177]= chargeable gain= 113746
Has anyone know the disallowable leasing expenses my 508
PCTCT For period ending 31/12/2008 450824 {P} 456824
Total tax liability payable 127659.30
[2007]=33811.80 less [MR] 266.30=33545.5
[2008]=94673.01 less {MR}559.29=94113.72
Task 1
Capital allowances 71442
Assessable trading income 126928
Emily’s shares of profit 105196 and Ismail’s 21732
Task 2
Adjusted trading profit after capital allowance 347173
Chargeable gain =150,000-[100,000 X 150,000/ 150,000 +500,000]=23077 X
.571 indexation allowances [13177]= chargeable gain= 113746
Has anyone know the disallowable leasing expenses my 508
PCTCT For period ending 31/12/2008 450824 {P} 456824
Total tax liability payable 127659.30
[2007]=33811.80 less [MR] 266.30=33545.5
[2008]=94673.01 less {MR}559.29=94113.72
0
Comments
-
-I had similar MR figures
-Ismail only get 6 months of profit share
check more info in the other post http://forums.aat.org.uk/showthread.php?p=149761#post1497610 -
Hi,
I had
1.1
CA - 72,642
1.2
Assessable trading income - 125,728
1.3
Emily share of profit 99,296
Ismal share of profit 26,432
2.1
Adjusted trading profit after capital allowance - 348,865
2.2
gain ......113.746
less loss..(9345)
total gain.. 104401
2.3
PCTCT 452,516
Profits 458,516
2.4
2007 - 33,938-256 = 33,683
2008 - 95,028-537 = 94,491
total tax liability - 128,174
I had no idea what to do with the leasing instalment of 2,200 .. so I have just addedd back as disallowable expense0 -
I must got something wrong in the capital allowances because my figure is slightly different!
Disposa: there was something different than the usual?
Ismail car: private portion to be applied?0 -
I had
....................General Pool.......... Emily Car...........Ismal Car.............CA
WDA..............56995.....................14500................................
Acquisition
without FYA
excess AIA........3675
Ismal Car.............................................................18370
Disposal.............(11660)
___________________________________________________________
......................49010...............14500.....................18370......
WDA 20%.........(9802)..................................................................9802
cars
3000limit...................................(2900x0.6).............(3.000x0.8).......4140
_________________________________________________________________
.....................39208................11600.......................15370
FYA - (8700)...............................................................................8700
AIA............................................................................................50000
Total CA.....................................................................................72642
But I might have gone wrong somewhere... what did you do?0 -
looks very familiar to me, only problem I think I forgot to put FYA amount into the total allowances column!:crying:0
-
I did all same except 6/12 for Ismail's car as he joined halfway through the year0
-
I thought that for CA does not matter when the item has been purchased or how long have you been in business.... but I might be wrong...0
-
I am not sure - it was a guess! hopefully they wont penalise me too harshly if it was wrong...........0
-
have you not reduced the private usage ?
As my knowledge concern, there a private usage of car should therefore the proposnate of private use can not claim wda.
So total emilys 60% can allow wda and same for ismail but ismail came 6 months later which need to consider as well.
I hope we all right
thank you0 -
I am not so sure we have to take into an account that Ismail joined the company in the middle of an accounting period. It should not matter when he joined and still all 20% WDA allowances should be allowable (after private usage has been taken off).
In all exercises I’ve done we have always taken into an account a whole accounting period.
His benefits in kind will be then time apportioned for 6months...
Or am I wrong?0 -
I think you are correct hanapospis...
You shouldnt apportion the capital allowances because he started through the year. The capital allowances are for the business before the allocation of trading profits. You are correct by saying a benifity would then be calculated on the private use of a business asset, in this case a car.0 -
yes you right
Hi i do not the person who has replied last one but i must say you are 100% right. No need to time apportion for ismail car but his private usage need to considered.
I did that bit wrong
thanks for feedback really appreciated.0
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