*** ACCA Paper ATX March 2020 Exam was.. Instant Poll and comments ***

Pretty much agree with you on everything else though.

Eis was near the end and I’d lost the will to live by then but think there was something to cling on to re the sale happening less than 3 years. Also that the deferred gain on the painting(?) Would become chargeable on the sale.

Allocated rent is not an eligible R&D exp
Therefore should not be consider

No Amman . There were three ties.
1. Wife and daughter
2. Was in the UK more than 90 days in EITHER of the previous 2 tax years.
3. Stays in available home at least one night in tax year.

Was previously resident so based on the days spent he spent during tax years he needs 2 ties.

@tonim said:
Yeah I’d not done any question practice on it. The gain on the painting I deducted from the “base cost” of the shares. I got confused with VTC’s and stated 5 years instead of 3 for clawback, realised as soon as I walked out.

I found this exam hard because normally where I would comment on something during question practice the examiner had already said “don’t consider it” so I was struggling for things to say.

In all honesty I don’t think I’ve passed, I’m not feeling very confident at all but I attempted every question and I seem to have said the same kind of thing you guys have so we can hope!

This was the most annoying part of the exam. I was reading the question and I realised a relief only for the next sentence to tell me either the person already considered that relief and/or don’t consider that relief! It was quite annoying in that sense.

For the residency I just looked at the tax table and considered those residency tests. I also remembered one important tip that as long as your principles and conclusion are right, you don’t need your calculations to be correct. So that helped a lot.

hi!
I did the same, however, the question asked how much the liability is reduced by the included PPC. The liability actually increased after PPC due to the extra charge so that confused me. However, I later realized that we probably should’ve added another year allowance as 3 years is allowable- just no information was given on occupational pension before the last year. The 3rd year allowance of 40000 would not have added another charge and liability would’ve been lower. I couldn’t figure it out in the exam but I think its what should’ve been done

The liability decreased for me.

You’re allowed to bring forward allowances for 3 years providing they are a member of a pension plan, however his employer had only been contributing to the plan for the two years;

2018/19: 40,000-8,000 = 32,000
2019/20: 40,000-8,000 = 32,000

His basic rate band was increased by the 85,000 meaning that he was takes more under 20%. Some of the ‘annual charge’ was at 20% and some was at 40% for me.

However, it still created me a saving on the tax liability: I pretty much just did an income tax computation including the £2,000 throwing in the nil rate band hoping it would get me a mark.

He had no personal allowance (which they asked you to mention) because all of his income exceeded £123,700

Yep this right. You got it right! Most of the rest of what you said about the other q’s was right too. Let’s see how we do, hopefully we’ve written enough stuff to get to 50!!????

Hey,

I thought you could only bring forward any unused Annual allowance (£40,000 limit) providing the individual was registered to a HMRC approved personal pension scheme?

If I remember correctly, the employers contributions were to an occupational pension scheme, therefore wouldn’t have any impact on the personal pension scheme limits? I thought the employees occupational pension contributions simply get deducted from employment income.

I didn’t bring forward any unused annual allowances from the previous years as I’m pretty sure he wasn’t registered to personal pension scheme in the past therefore the current year pension contribution of £85k exceeded the allowance completely.

(i’m not saying that any of the above is correct, just from my understanding) 🙂

His liability decreased dramatically for me from like £41k (as given in question) to £23k lol!!! Which is questionable because any tax differences in these questions usually aren’t that great. But then again I had just 20 minutes to get through the question!!!

Ahh this exam was such a hit and miss – I’m hoping for the best. Overall I thought half of it was really hard and the other half was really easy?!?

I’m an independent student – just use books and online papers 🙁 can do with a study budy tbh… I’d love to be able to do like past papers at the same time and then share answers and explanations – I feel this can really help.

Anyone wanting to study as a pair or even as a group (Whatsapp group or whatever) give me a shout!

I’m hoping for the best – I just really need to pass this! Keeping an open mind…

Hi ,