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xyzc
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If there is an extension of basic rate tax band by 20000 then is it correct to show it as 57700 * 20% or should it be shown as 37700 * 20% and 20000 *20%. Which one will gain full marks because I found in the marking scheme that there were marks for showing each of them separately.
Tax Tutor
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I think that I have only ever shown one way of dealing with this basic issue – a working showing the extension of the basic rate band (and higher rate band if required) and a a single calculation of the tax on each band
xyzc
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