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  2. Hi

    I was wondering in example 5.

    for the trader how does he know (Property Income assessment on landlord)

    isn’t there returns separate so how would the trader know the amount here. Also does that not already include rent??

    confused with this

    • Hi Leanne,

      In the question content, it’s directly followed by the answer of question example 4.

      (Property Income assessment on the landlord for the short lease is a percentage of the premium, irrelevant of the rent.

      Best wishes
      Harry

    • Hi Daniel,

      It’s calculated as accurred basis, as long as the rental is received at a later date, i.e. not a bad debt. It’s counted as normal.

      Best wishes
      Harry

  4. Hi Tutor,
    Can you please have a look at the advised practice question N° 2 (Kate).
    The non saving and saving taxes seems wrong as you used 32800 X 20% instead of 34500 X 20%. Please confirm.

    Regards.
    Daniel.

  6. Question Please: The lessor received 60K premium. We calculate £37,500 is the amount to be taxed by following the formula.

    However, doesn’t that essentially mean the difference between 60K and 37.5k is not taxed?

  7. If the Landlord’s total property income is 40,950 pounds, how come only the 37,200 pounds from the premium is used in computing the amount allowed for the trader? Or is the 5000 pounds rent due from another property?

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