Personal Tax Rounding?

Devlin

Hi

I've looked through the forums and see the question on rounding for the exams has been asked a few times, but there doesn't seem to be a definitive answer on what is right and wrong.

The sample assessment really doesn't help, especially with the question on car benefits using different rounding rules within the same task.

I'm just distance learning and all I've got to go on is the Osbourne book and what's on the AAT website. So I was just wondering what any students are getting told on how to round their answers, or if there's been any official word from the AAT.

I'd hate to lose easy marks over something simple like rounding, but I've got my exam in a couple of days and so far I can't tell if you round up, round down or if standard rounding rules apply, as there's no consistency with the AAT material.

Any advice would be appreciated.

Devlin

Thanks, that's what I'll go with.

I just wish the AAT could make their minds up on the matter, or at least let everyone know how the exams will be marked.

CeeJaySix

As a rule of thumb always round in favour of the taxpayer.

Whilst I don't know for certain, I would be surprised if you don't get at least some credit in the exams for answers that are just rounded the wrong way.

Bamboogarden

I know which question you're talking about. I showed my teacher and she said that the exams should allow for different rounding up/down. I hope she's right and while practising assessment papers I have found they tend to round up.

Devlin

Thanks for the responses, I sat this exam last Wednesday and was quite pleased that only one of the questions that is automatically marked required any rounding, so hopefully it shouldn't make a difference to if I passed or not.

I would like to think your teacher would be right, and the exam wouldn't mark you down for rounding up or down. It would be nice though if the AAT could have confirmed this somewhere, or maybe have it written somewhere in the text at the start of the assessments, as there's enough to learn and stress over when preparing for an exam without having to worry about rounding.

Kelly7

The assessment on here uses both which does not help. I emailed AAT three times asking and never got a response. Not good when it could be the difference between a pass and fail x

NickCraggs

The actual rule is that you round in the favour of the tax payer, so you would round any income, such as BIK down, and any allowable expenses up.

HeatherMac

My Tutor had a response regardnig this"I have had a reply from the AAT Personal Tax eam. They have confirmed that you may round up or down in your answers and that the assessment platform has been programmed to accept both answers. "