I really enjoy this lesson, come from a non-accounting background, now after watched all the previous videos, now I can do some easy exam questions on my own, thank you so much.

Hello , in the example 5 -> I think there is a little mistake in the calculation of : SAVINGS TAX Liability:

4.350 x 0% = Nil (correct) 1.000 x 0% = Nil (correct) 13.300 x 20% = 2.660 (!! in the answers there is 12.650 x 20%, but why 12.650 when the total taxable income is 18.650…)

Hi Example 9 the non savings value is £40,000. why is the tax rate 40% on £20,000 and 45% on £20,000? I was expecting it to be 20% on the first £34,500 then 40% on £5,500

if you taxed the Nonsavings of the first 34,500 @20% what is left would be £95,500, which has crossed over to higher rate. therefore, £95,500 @40%. So the difference between £130,000 to £150,000= £20,000 from the savings is within the higher rate. Therefore it’d be taxed at 40%, while the reaming £20,000 left from the savings has crossed over to additional rate, then it’d be taxed at 40%.

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mokorie64 says

on the accrued income assessed for the buyer- why is it 6 months and not 7 months?

xiaoyueyue says

The buyer bought the stock on 01.07 and the interest is paid on 31.12. Its 6 months in total.

jwang8 says

I really enjoy this lesson, come from a non-accounting background, now after watched all

the previous videos, now I can do some easy exam questions on my own, thank you so much.

mazai says

Hello , in the example 5 -> I think there is a little mistake in the calculation of :

SAVINGS TAX Liability:

4.350 x 0% = Nil (correct)

1.000 x 0% = Nil (correct)

13.300 x 20% = 2.660 (!! in the answers there is 12.650 x 20%, but why 12.650 when the total taxable income is 18.650…)

mazai says

sorry, never mind, i was confused with the Total taxable income and total SAVING income.

I got it 🙂

christy2418 says

Sorry posted in the wrong area. However I have solved the issue.

christy2418 says

Hi

Example 9 the non savings value is £40,000. why is the tax rate 40% on £20,000 and 45% on £20,000? I was expecting it to be 20% on the first £34,500 then 40% on £5,500

akay4 says

if you taxed the Nonsavings of the first 34,500 @20% what is left would be £95,500, which has crossed over to higher rate. therefore, £95,500 @40%. So the difference between £130,000 to £150,000= £20,000 from the savings is within the higher rate. Therefore it’d be taxed at 40%, while the reaming £20,000 left from the savings has crossed over to additional rate, then it’d be taxed at 40%.

Asif says

Hello Sir!

I have a question with example 8

Mike is a Higher Rate Taxpayer, Then why Nil Rate Band £500 is not applied?

sheraz123 says

because there is no saving income…