Child Tax Credit
Anne Boleyn
Registered Posts: 196 Dedicated contributor 🦉
Hi Everyone
I'm hoping that those with greater experience than mine can help me.
I have a client who has quite an amount in overlap profits carried forward each year. Now I'm in the process of releasing these by bringing the year end in line with the tax year but I'm wondering about whether it will affect his tax credits claim.
His profit for the new period will be about £45,000 with overlap profits of £25,000. If we kept the July year end his profit would be around £25,000.
My question is what profit figure is used in the tax credit claim? Would it be the adjusted tax figure of £45K - 25K= £20K or the £45K?
I really do appreciate any replies.
I'm hoping that those with greater experience than mine can help me.
I have a client who has quite an amount in overlap profits carried forward each year. Now I'm in the process of releasing these by bringing the year end in line with the tax year but I'm wondering about whether it will affect his tax credits claim.
His profit for the new period will be about £45,000 with overlap profits of £25,000. If we kept the July year end his profit would be around £25,000.
My question is what profit figure is used in the tax credit claim? Would it be the adjusted tax figure of £45K - 25K= £20K or the £45K?
I really do appreciate any replies.
0
Comments
-
Anne
The tax credit figure is whatever profit is shown on the tax comp, hope this helps0 -
Tax credit
hi Groundy
Thanks for replying. However, is it the profit figure or the adjusted profit figure that would be taken into account for tax credit claim?0 -
Its the tax adjusted figure not the profits per the accounts.0
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