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In Chap 4,
What does it mean by : Tax adjusted trading profits are not the same as the profits shown in the individuals business Income Statement?
Thank you.
exactly what it says on the tin.
TAT Profit is not just Profit from the Income statement.
It is adjusted for the purpose of tax.
Some figures such as depreciation which may be deducted in order to reach Profit, is not allowed to be deducted for tax, it must be taxed on, so must be added back in to reach tax adjusted trading profit.
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