Base Year - June 2014

You need to study and learn the basis periods in opening years - OT course notes chapter 7 and then attempt this question. Also review answers to earlier student queries on this question.

There are 3 conditions to determine second tax year. Your case is condition 2 . if you draw these on paper you will be clear about it. (On this site I can't draw any line) Second Tax year Condition 1 {************1st tax year****************} commencing date .........................5 April .....................Acc Y/E...................5 April ___________________{************12 months***************}2nd tax year (____________________>= 12 months____________________) If the period from commencing date to first Acc Y/E date is equal or more than 12 month (2nd tax year is 12 months to first Acc Y/E date) Condition 2 {**********1st tax year**************} commencing date.......................5 April .......................Acc Y/E.........................5 April {*************************12 months********************************************}= 2nd tax year (_____________________< 12 months____________________) If the period from commencing date to first Acc Y/E date is less than 12 months (2nd tax year is the first 12 months) Condition 3 {********1st tax year********} commencing date ................5 April .............................................5 April __________________________{***********************************}= 2nd tax year If there is no Acc Y/E between the first 5 April and Second 5 April (2nd tax year is from the first 6 April to Second 5 April)

I beg your pardon, Sir! I did not know that I shouldn't write here. I'm ashamed of myself!

Don't worry no problem - it's a good thing to try and help others!