dear: tutor
i want ask about personal allowance born down 1938.
example:
P born 1935 total income 29740
personal allowance 29740- 26100=3640/2=1820
personal allowance = 10660 – 1820 =8840 this right?
i saw in your notes that limit is 9440 . what the personal allowance 9440 or 8840?
Ask the Tutor ACCA TX-UK
allowance age
really thanks its very helpful
this like i understand but bpp kit in answer made mistake in personal allowance born before 1948 and his income not exceed 100000 he made personal allowance down 9440
thanks
tarek you are right 8840 sounds correct.
Please read the course notes on page 11 - bullet point 4 clearly states that the PA is restricted until it is reduced to a minimum of the normal PA. The answer therefore is 9440 not 8840! Example 11 with answer clearly demonstrates this!
thanks tax tutor for clarifying
Sign in to reply to this topic.