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tax income and chargeable gains tax

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA TX-UK Exams › tax income and chargeable gains tax

  • This topic has 3 replies, 3 voices, and was last updated 4 years ago by Tax Tutor.
Viewing 4 posts - 1 through 4 (of 4 total)
  • Author
    Posts
  • November 24, 2020 at 5:27 am #596225
    kyh534
    Member
    • Topics: 1
    • Replies: 0
    • ☆

    hello, sir I am struggling with this question. Can I get some idea for this question?

    I was employed until 31st December 2020. The P45 I received from this job had salary of £18,750 with tax paid of £1,875. From 1st January I have been self-employed, my first accounts to 31st December 2021 had taxable profits of £21,000. I have also owned another company for many years, from this I have dividend income of £7,000 and I have interest received from my savings of £1,400 and from my ISA of £700.

    I also sold some of my personal assets and received the following:

    1. Six acres of land for £61,000. This represents part of a 10 acre plot I purchased in 1993 for £39,000. The remaining four acres are valued at £45,000.

    2. £100,000 for the house I used to live in. I bought the house in February 2016 for £45,000. I lived in the house for 8 months before moving overseas to work for 12 months, when I returned I moved in with my then girlfriend, now wife.

    3. £75,000 for 50% shareholding in my business (which I started), I originally invested £5,000 for these shares.

    4. £30,000 for a painting I acquired for £14,000

    Please could you let me know the income tax and capital gains tax liability for the year.

    November 25, 2020 at 12:18 pm #596394
    Tax Tutor
    Member
    • Topics: 2
    • Replies: 3965
    • ☆☆☆☆☆

    Let me know what part of the answer you do not understand.

    November 27, 2020 at 4:54 am #596622
    tanujawa
    Member
    • Topics: 0
    • Replies: 1
    • ☆

    Hey there,

    I am also struggling with this question on point 2 and 3 can you please help me?

    November 30, 2020 at 10:53 am #597109
    Tax Tutor
    Member
    • Topics: 2
    • Replies: 3965
    • ☆☆☆☆☆

    Sorry for any misunderstanding – but I wanted you to show me the model answer and identify which part of that answer you don’t understand

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