[sayedaamal]

Believe me this entire time I was praying to God to pass me. That’s how my preparation went. I was nervous. But Thank God things went fine.

[sayedaamal]

Thank you for that.
I’ll surely let you know when the results come out.
🙂

[sayedaamal]

I got it now.

Thank you.

[sayedaamal]

Oh I had no idea about that.
That’s why in the question where Ella lives with a family is an accommodation tie because she was there for more than 91 days.

And Tonnie was not when she stayed at her friend’s place.

I got it now.

Thank you so much 🙂

[sayedaamal]

I thought so too that insurance is not the same as expenses related to medical. But then I still posted the question here so that I can be more clear.

Thank you so muchm

[sayedaamal]

I got it now.
Thank you. 🙂

[sayedaamal]

Thank you once again

[sayedaamal]

Oh I’m sorry I accidentally mentioned capital.
I’ve understood.
But it should always be CY first?

[sayedaamal]

Okay so that’s the reason.

I thought this rule applied not just to the business when it ceases to trade but also the assets as well because we stop using the assets.
But I was wrong.

Thank you for clearing my doubts.

[sayedaamal]

Oh yes I missed that point. Thank you.

[sayedaamal]

I got it now.
Very grateful to you. 🙂

[sayedaamal]

Okay. That cleared everything.

[sayedaamal]

Okay. That cleared everything.?

[sayedaamal]

Is it the same with full expensing in the first year? Meaning that we can’t claim 18% in the main pool but the following year we can?

[sayedaamal]

Just wanted to say that because of you I’ve reached this far in Tax. You’re a great teacher. Otherwise things were too tricky in Tax subject.

Thank you so much.

[sayedaamal]

I got it now.
It’s much easier if I do the dates of the first and last instalments and put anything in between. I’m getting the method now.

Thank you so much. This was a bit tricky topic.

[sayedaamal]

Can’t thank you enough. You’re such an amazing teacher. I’ve understood the calculations.

About 45000 being carried forward, is that supposed to be multiplied by 25% since it’ll be relieved against 320000?

Then the tax would be saved by
25%*45000=11250

And that would make a total of 16,125+11,250=27,375?

[sayedaamal]

Thank you once again 🙂

[sayedaamal]

This is a bit perplexing and I’m getting it somewhat.
But to have a better understanding, I want it to compare it what it would’ve been if it wasn’t an 8-month period but 12 month instead.

So I’m assuming it would have 1st September 2024 as the start of the accounting period.
Therefore 14th of month 7 will be
14th of March 2025
And the next 3 months and 14th day would be
14th June 2025
And thereafter, 3 months and 14th day would be 14th September 2025 (So that’ll be the end of the accounting period on the 13th month)
So 2 instalments before the end of the accounting period.
And 2 instalment afterwards.

After the end of the accounting period, 3 months and 14th day would be 14th of December 2025, which is the 16th month, which you’ve previously mentioned for the eight-month period.

So the normal due date under the 12-month period would be in December.

And under 8-month period too it’s on December because it’s after 3-month after the accounting period.

And under 8-month period, when we start from 1st January, 7 month and 14th day is
14th July 2025.

And the next instalment is on 14th Oct 2025.

And the next instalment is on 14th Dec 2025 because it was counted from the end of the accounting period which is 31st August 2025.

So these are 3 instalments (and not the usual 4 instalments that would normally have been, had it been 12 month period)

I hope I’m going right.
I wrote it out here because I wanted to confirm if I’ve got this right.

I have a doubt here. In the 12-month period, the accounting period ended 31st August 2025, but the next instalment was on 14th of September 2025.

But in the eight month period we count 3 months and 14 days after 31st August 2025 which means the instalment is on 14th Drcember 2025.

This is where I’m getting confused.

[sayedaamal]

It looked hectic but then you made it look so simple. It’s completely clear now. Thank you once again.

[sayedaamal]

Thank you.

[sayedaamal]

Thank you for solving my problem once again.

[sayedaamal]

Okay so that’s how it is calculated.
Even though I read the chapter on NIC but I still didn’t get it at that time.

Now it’s completely clear.

IT is calculated in a different way and NIC is calculated on cash remuneration.
But under cash remuneration, we don’t deduct allowable expenses or add benefits as we do under normal employment income calculation when calculating IT.

And then after calculating IT and NIC separately we bring it under PAYE. And then we deduct this from gross employment income.

Oh this is so much clearer now.

Thank you so so much.

[sayedaamal]

That cleared my doubts.

Thank you once again.

[sayedaamal]

I’m sorry I didn’t know about this. I thought NIC gets deducted from employee’s employment income.

Okay so for CASH remuneration we don’t deduct NIC.

So other than Cash remuneration we can?

[Author]

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