Business Tax Exam.

24

Comments

  • popcornlpw
    popcornlpw Registered Posts: 30 Regular contributor ⭐
    I deducted the trading loss c/d from 1st 12 months profit
  • Gianfranco Zola
    Gianfranco Zola Registered Posts: 9 New contributor 🐸
    Yeah, same here. I didn't add the speeding fine back on, which I believe to be a mistake now, but I got adjusted trading profits for the 15 month period at £145,782 - i think
  • lc1234
    lc1234 Registered Posts: 2 New contributor 🐸
    You have mostly made my day, seems that most of my answers are the same as the ones quoted here just one more thing did anyone get involved with Overlaps for the partership because it was a new venture, I did not because normally it asks you to state the overlaps clearly.

    Also If anyone is interested I have the Data pages for both section 1 & 2 and wrote the questions for each section on them so I can go through it tomorrow after DFS?
  • Emma1708
    Emma1708 Registered Posts: 217 Dedicated contributor 🦉
    Yeah, same here. I didn't add the speeding fine back on, which I believe to be a mistake now, but I got adjusted trading profits for the 15 month period at £145,782 - i think

    I got the same profit figure as you
  • popcornlpw
    popcornlpw Registered Posts: 30 Regular contributor ⭐
    yeb same here adj trading profit £145782
  • popcornlpw
    popcornlpw Registered Posts: 30 Regular contributor ⭐
    No sorry I did not have any overlap for this paper
  • >Michaela<
    >Michaela< Registered Posts: 37 Regular contributor ⭐
    Woopsy, I was thick and didnt realise some needed to be taxed at 19% and did it all at 20%, never mind, I knew I had ballsd up on it!
  • popcornlpw
    popcornlpw Registered Posts: 30 Regular contributor ⭐
    PCTCT payable for 1st 12 months was £18979

    PCTCT payable for 3months was £7176

    Has any one have the same?
  • Sonny_L
    Sonny_L Registered Posts: 201 Dedicated contributor 🦉
    yep 145,782

    then i apportioned it to 12 and 3 months for the next 2 questions

    Then i added on the chargeable gain and deducted the loss b/fwd and 12/15 of the gift aid the gift aid against the 12 month period to arrive at PCTCT for the 12 months.

    Think i just deducted gift aid from the 3 month one

    I adjusted the limits for the time apportionment and the associate

    and calculated corp tax at 19% and 20% for the 12 month period and 20% for all of the 3 month one

    unbelievably i used the 12 month PCTCT for the 3 month corp tax calc aswell. I remembered after the exam, what was i thinking?

    Oh well. Hopefully the method is sound.
  • oxongirl78
    oxongirl78 Registered Posts: 13 New contributor 🐸
    ref the gift aid...it clearly stated that it was paid out at £100 per month, so you could split it into the 12 month and 3 month periods.

    Sorry...nit-picking !!
  • popcornlpw
    popcornlpw Registered Posts: 30 Regular contributor ⭐
    I did the last 3 months the PCTCT was x 30%
    and less relief of £3491.....
  • Cortez
    Cortez Registered Posts: 76 Regular contributor ⭐
    Well now its 3pm - on part 2 was it a small company or medium company for tax purposes?

    Couldn't see anyone quoting you so assumed this hadn't been answers ... it said medium in the question.
  • Pigpen
    Pigpen Registered Posts: 331 Dedicated contributor 🦉
    I thought the exam was weird - No share calculations and so this is bound to come up in the personal taxation exam on Friday - I had got really good at them too :laugh: I was so convinced that there should be a marginal relief calculation in there at the end - But my profits for both periods were below the lower limit after allowing for the associated company so I am hopeful this was ok - I hate exams
  • Gianfranco Zola
    Gianfranco Zola Registered Posts: 9 New contributor 🐸
    I got corporation tax payable as follows:

    (104,026 x 6/12) x 19% = 9,882
    (104,026 x 6/12) x 20% = 10,403

    So £20,285 for the 12 months and I can't remember what I got for the 3 months
  • popcornlpw
    popcornlpw Registered Posts: 30 Regular contributor ⭐
    because 300000/2 x3/12=37500...
    the "profit" was over 38k
  • pikeydiva
    pikeydiva Registered Posts: 16 New contributor 🐸
    did anyone calculate PU for the cars in section 1 with partnership??
  • Cortez
    Cortez Registered Posts: 76 Regular contributor ⭐
    popcornlpw wrote: »
    I did the last 3 months the PCTCT was x 30%
    and less relief of £3491.....

    I did marginal relief for the 3 month period as well but can't remember what my relief figure was. I think after deducting the relief I had around £7k payable?


    I didn't deduct the losses from anywhere, completely forgot about that!

    I allowed the speeding fine but not sure if that was right. I know you can allow parking fines but the difference didn't click in the exam ... just saw an employee fine and thought it was fine! :blushing:
  • Emma1708
    Emma1708 Registered Posts: 217 Dedicated contributor 🦉
    Actually I didnt get that profit figure, I took the £18100 off so the profit figure I used for the 15 months was £127k ish.
  • Gianfranco Zola
    Gianfranco Zola Registered Posts: 9 New contributor 🐸
    I think for the second months I had:

    145,782 x 3/15 = 29,156
    Less: gift aid ( 300)

    PCTCT 28,856

    'profits'

    PCTCT 28,856
    dividends 2,500

    31,356

    then as this was under 37,500 i multtipied the PCTCT by 20% to get corp tax payable of £5,771
  • Sonny_L
    Sonny_L Registered Posts: 201 Dedicated contributor 🦉
    Huge space for the final email wasn't there? I just explained the details of rollover relief, without calculations there wasn't much to say?
  • Pigpen
    Pigpen Registered Posts: 331 Dedicated contributor 🦉
    Oh I must have got the last 3 months bit wrong then cos my "profits" figure was under the 150000/12 x 3 limit of £37500 - Bummer
  • craig__2k4
    craig__2k4 Registered Posts: 1 New contributor 🐸
    nah i didnt get any marginal reflief figures, i made a note of what i would of done anyway, but my figures werent over the thresh hold, hope this is right!
  • Cortez
    Cortez Registered Posts: 76 Regular contributor ⭐
    For rollover relief do you have to buy the new building 12 months before/6 months after sale?
  • ChloeGee
    ChloeGee Registered Posts: 23 New contributor 🐸
    I think for the second months I had:

    145,782 x 3/15 = 29,156
    Less: gift aid ( 300)

    PCTCT 28,856

    'profits'

    PCTCT 28,856
    dividends 2,500

    31,356

    then as this was under 37,500 i multtipied the PCTCT by 20% to get corp tax payable of £5,771

    That is exactly what I got for the corp tax for 3 months and similarly for the first 12 months period, it was also under the lower limit.
    Profits were £104,026 so it was half at 19% and half at 20%.

    In the second e-mail, did you have to start explaining about rollover relief?
  • ChloeGee
    ChloeGee Registered Posts: 23 New contributor 🐸
    Cortez wrote: »
    For rollover relief do you have to buy the new building 12 months before/6 months after sale?

    Think it's something like 12 months before the end of the accounting period in which you sell it and up to 36 months after.. ?
  • Pigpen
    Pigpen Registered Posts: 331 Dedicated contributor 🦉
    Cortez - My books for rollover say new asset must be bought up to 12 months before or 36 months after
  • oxongirl78
    oxongirl78 Registered Posts: 13 New contributor 🐸
    Zola your figures all seem familiar to me...I think that's what I got too :-)
  • popcornlpw
    popcornlpw Registered Posts: 30 Regular contributor ⭐
    I think for the second months I had:

    145,782 x 3/15 = 29,156
    Less: gift aid ( 300)

    PCTCT 28,856

    'profits'

    PCTCT 28,856
    dividends 2,500

    31,356

    then as this was under 37,500 i multtipied the PCTCT by 20% to get corp tax payable of £5,771
    I think I add the chargeable again in the 3 months peroid
  • jilbo
    jilbo Registered Posts: 197 Dedicated contributor 🦉
    Cortez wrote: »
    For rollover relief do you have to buy the new building 12 months before/6 months after sale?

    12 months before/3 years after
  • oxongirl78
    oxongirl78 Registered Posts: 13 New contributor 🐸
    ref the rollover relief, since they gave the figures I thought it best to use them to illustrate how it would work with a calculation. I just hope my method was correct - I was waffling a bit..
Privacy Policy