(b) Assuming that the income from the sale of the books is not treated as trading income, calculate Bob’s taxableincome and gains for all relevant tax years, using any loss reliefs in the most tax-efficient manner. Youranswer should include an explanation of the loss reliefs available and your reasons for using (or not using)them. (12 marks)Assume that the rates and allowances for 2004/05 apply throughout this part of the question.
(b) Assuming that the income from the sale of the books is not treated as trading income, calculate Bob’s taxable
income and gains for all relevant tax years, using any loss reliefs in the most tax-efficient manner. Your
answer should include an explanation of the loss reliefs available and your reasons for using (or not using)
them. (12 marks)
Assume that the rates and allowances for 2004/05 apply throughout this part of the question.
相关考题：
(b) Assuming that Thai Curry Ltd claims relief for its trading loss against total profits under s.393A ICTA 1988,calculate the company’s corporation tax liability for the year ended 30 September 2005. (10 marks)
(b) Explain the capital gains tax (CGT) and inheritance tax (IHT) implications of Graeme gifting his remaining ‘T’ordinary shares at their current value either:(i) to his wife, Catherine; or(ii) to his son, Barry.Your answer should be supported by relevant calculations and clearly identify the availability and effect ofany reliefs (other than the CGT annual exemption) that might be used to reduce or defer any tax liabilitiesarising. (9 marks)
(c) Assuming that Joanne registers for value added tax (VAT) with effect from 1 April 2006:(i) Calculate her income tax (IT) and capital gains tax (CGT) payable for the year of assessment 2005/06.You are not required to calculate any national insurance liabilities in this sub-part. (6 marks)
(c) State any reliefs Bob could claim regarding the fall in value of his shares in Willis Ltd, and describe how theoperation of any such reliefs could reduce Bob’s taxable income. (4 marks)Relevant retail price index figures are:September 1990 129·3April 1998 162·6December 2004 189·9
(ii) Explain the income tax (IT), national insurance (NIC) and capital gains tax (CGT) implications arising onthe grant to and exercise by an employee of an option to buy shares in an unapproved share optionscheme and on the subsequent sale of these shares. State clearly how these would apply in Henry’scase. (8 marks)
3 On 1 January 2007 Dovedale Ltd, a company with no subsidiaries, intends to purchase 65% of the ordinary sharecapital of Hira Ltd from Belgrove Ltd. Belgrove Ltd currently owns 100% of the share capital of Hira Ltd and has noother subsidiaries. All three companies have their head offices in the UK and are UK resident.Hira Ltd had trading losses brought forward, as at 1 April 2006, of ￡18,600 and no income or gains against whichto offset losses in the year ended 31 March 2006. In the year ending 31 March 2007 the company expects to makefurther tax adjusted trading losses of ￡55,000 before deduction of capital allowances, and to have no other incomeor gains. The tax written down value of Hira Ltd’s plant and machinery as at 31 March 2006 was ￡96,000 andthere will be no fixed asset additions or disposals in the year ending 31 March 2007. In the year ending 31 March2008 a small tax adjusted trading loss is anticipated. Hira Ltd will surrender the maximum possible trading lossesto Belgrove Ltd and Dovedale Ltd.The tax adjusted trading profit of Dovedale Ltd for the year ending 31 March 2007 is expected to be ￡875,000 andto continue at this level in the future. The profits chargeable to corporation tax of Belgrove Ltd are expected to be￡38,000 for the year ending 31 March 2007 and to increase in the future.On 1 February 2007 Dovedale Ltd will sell a small office building to Hira Ltd for its market value of ￡234,000.Dovedale Ltd purchased the building in March 2005 for ￡210,000. In October 2004 Dovedale Ltd sold a factoryfor ￡277,450 making a capital gain of ￡84,217. A claim was made to roll over the gain on the sale of the factoryagainst the acquisition cost of the office building.On 1 April 2007 Dovedale Ltd intends to acquire the whole of the ordinary share capital of Atapo Inc, an unquotedcompany resident in the country of Morovia. Atapo Inc sells components to Dovedale Ltd as well as to othercompanies in Morovia and around the world.It is estimated that Atapo Inc will make a profit before tax of ￡160,000 in the year ending 31 March 2008 and willpay a dividend to Dovedale Ltd of ￡105,000. It can be assumed that Atapo Inc’s taxable profits are equal to its profitbefore tax. The rate of corporation tax in Morovia is 9%. There is a withholding tax of 3% on dividends paid tonon-Morovian resident shareholders. There is no double tax agreement between the UK and Morovia.Required:(a) Advise Belgrove Ltd of any capital gains that may arise as a result of the sale of the shares in Hira Ltd. Youare not required to calculate any capital gains in this part of the question. (4 marks)
(c) Calculate the expected corporation tax liability of Dovedale Ltd for the year ending 31 March 2007 on theassumption that all available reliefs are claimed by Dovedale Ltd but that Hira Ltd will not claim any capitalallowances in that year. (4 marks)
(ii) Compute the annual income tax saving from your recommendation in (i) above as compared with thesituation where Cindy retains both the property and the shares. Identify any other tax implicationsarising from your recommendation. Your answer should consider all relevant taxes. (3 marks)
(b) Explain the advantages from a tax point of view of operating the new business as a partnership rather thanas a company whilst it is making losses. You should calculate the tax adjusted trading loss for the yearending 31 March 2008 for both situations and indicate the years in which the loss relief will be obtained.You are not required to prepare any other supporting calculations. (10 marks)
(b) (i) Compute the corporation tax liability of Speak Write Ltd for its first trading period on the assumptionthat the IR 35 legislation applies to all of its income. (2 marks)
(c) Explain the capital gains tax (CGT) and income tax (IT) issues Paul and Sharon should consider in decidingwhich form. of trust to set up for Gisella and Gavin. You are not required to consider inheritance tax (IHT) orstamp duty land tax (SDLT) issues. (10 marks)You should assume that the tax rates and allowances for the tax year 2005/06 apply throughout this question.
(b) (i) Advise Andrew of the income tax (IT) and capital gains tax (CGT) reliefs available on his investment inthe ordinary share capital of Scalar Limited, together with any conditions which need to be satisfied.Your answer should clearly identify any steps that should be taken by Andrew and the other investorsto obtain the maximum relief. (13 marks)
(b) Calculate Alvaro Pelorus’s capital gains tax liability for the tax year 2006/07 on the assumption that allavailable reliefs are claimed. (8 marks)
(ii) Analyse the effect of delaying the sale of the business of the Stiletto Partnership to Razor Ltd until30 April 2007 on Clint’s income tax and national insurance position.You are not required to prepare detailed calculations of his income tax or national insurance liabilities.(4 marks)
(c) Calculate and explain the amount of income tax relief that Gerard will obtain in respect of the pensioncontributions he proposes to make in the tax year 2007/08 and contrast this with how his position could beimproved by delaying some of the contributions that he could have made in 2007/08 until 2008/09. Youshould include relevant supporting calculations and quantify the additional tax savings arising as a result ofyour advice.You should ignore the proposed changes to the bonus scheme for this part of this question and assume thatGerard’s income will not change in 2008/09. (12 marks)
(d) Evaluate the effect on Gerard of the changes to be made by Fizz plc to its performance related bonus scheme.You should ignore the effect of any pension contributions to be made by Gerard in the future, consider boththe value and timing of amounts received by Gerard and include relevant supporting calculations.(5 marks)Note: – You should assume that the income tax rates and allowances for the tax year 2006/07 apply throughoutthis question.
4 Coral is the owner and managing director of Reef Ltd. She is considering the manner in which she will make her firstpension contributions. In November 2007 she inherited her mother’s house in the country of Kalania.The following information has been extracted from client files and from telephone conversations with Coral.Coral:– 1972 – Born in the country of Kalania. Her father, who died in 2002, was domiciled in Kalania.– 1999 – Moved to the UK and has lived and worked here since then.– 2001 – Subscribed for 100% of the ordinary share capital of Reef Ltd.– Intends to sell Reef Ltd and return to live in the country of Kalania in 2012.– No income apart from that received from Reef Ltd.Reef Ltd:– A UK resident company with annual profits chargeable to corporation tax of approximately ￡70,000.– Four employees including Coral.– Provides scuba diving lessons to members of the public.Payments from Reef Ltd to Coral in 2007/08:– Director’s fees of ￡460 per month.– Dividends paid of ￡14,250 in June 2007 and ￡14,250 in September 2007.Pension contributions:– Coral has not so far made any pension contributions in the tax year 2007/08 but wishes to make gross pensioncontributions of ￡9,000.– The contributions are to be made by Reef Ltd or Coral or a combination of the two in such a way as to minimisethe total after tax cost.– Any contributions made by Coral will be funded by an additional dividend from Reef Ltd.House in the country of Kalania:– Beachfront property with potential rental income of ￡550 per month after deduction of allowable expenditure.– Coral will use it for holidays for two months each year.The tax system in the country of Kalania:– No capital gains tax or inheritance tax.– Income tax at 8% on income arising in the country of Kalania.– No double tax treaty with the UK.Required:(a) With the objective of minimising the total after tax cost, advise Coral as to whether the gross pensioncontributions of ￡9,000 should be made:– wholly by Reef Ltd; or– by Coral to the extent that they are tax allowable with the balance made by Reef Ltd.Your answer should include supporting calculations where necessary. (9 marks)
(ii) Explain how the inclusion of rental income in Coral’s UK income tax computation could affect theincome tax due on her dividend income. (2 marks)You are not required to prepare calculations for part (b) of this question.Note: you should assume that the tax rates and allowances for the tax year 2006/07 and for the financial year to31 March 2007 will continue to apply for the foreseeable future.
(b) Prepare a reasoned explanation of how any capital gains tax arising in the UK on the sale of the paintingscan be minimised. (2 marks)
(ii) Write a letter to Donald advising him on the most tax efficient manner in which he can relieve the lossincurred in the year to 31 March 2007. Your letter should briefly outline the types of loss relief availableand explain their relative merits in Donald’s situation. Assume that Donald will have no source of incomeother than the business in the year of assessment 2006/07 and that any income he earned on a parttimebasis while at university was always less than his annual personal allowance. (9 marks)Assume that the corporation tax rates and allowances for the financial year 2004 and the income tax ratesand allowances for 2004/05 apply throughout this question.Relevant retail price index figures are:January 1998 159·5April 1998 162·6
6 Charles and Jane Miro, aged 31 and 34 years respectively, have been married for ten years and have two childrenaged six and eight years. Charles is a teacher but for the last five years he has stayed at home to look after theirchildren. Jane works as a translator for Speak Write Ltd.Speak Write Ltd was formed and began trading on 6 April 2006. It provides translation services to universities. Jane,who ceased employment with Barnham University to found the company, owns 100% of its ordinary share capitaland is its only employee.Speak Write Ltd has translated documents for four different universities since it began trading. Its biggest client isBarnham University which represents 70% of the company’s gross income. It is estimated that the company’s grossfee income for its first 12 months of trading will be ￡110,000. Speak Write Ltd usually agrees fixed fees in advancewith its clients although it charges for some projects by reference to the number of days taken to do the work. Noneof the universities makes any payment to Speak Write Ltd in respect of Jane being on holiday or sick.All of the universities insist that Jane does the work herself. Jane carries out the work for three of the universities inher office at home using a computer and specialised software owned by Speak Write Ltd. The work she does forBarnham University is done in the university’s library on one of its computers as the documents concerned are toodelicate to move.The first set of accounts for Speak Write Ltd will be drawn up for the year ending 5 April 2007. It is estimated thatthe company’s tax adjusted trading profit for this period will be ￡52,500. This figure is after deducting Jane’s salaryof ￡4,000 per month and the related national insurance contributions but before any adjustments required by theapplication of the personal service companies (IR 35) legislation. The company has no other sources of income orcapital gains.Jane has not entered into any communication with HM Revenue and Customs (HMRC) with respect to the companyand wants to know:– When the corporation tax computation should be submitted and when the tax is due.– When the corporation tax computation can be regarded as having been agreed by HMRC.Charles and Jane have requested a meeting to discuss the family’s finances. In particular, they wish to consider theshortfall in the family’s annual income and any other related issues if Jane were to die. Their mortgage is coveredby a term assurance policy but neither of them have made any pension contributions or carried out any other longterm financial planning.Jane has estimated that her annual after tax income from Speak Write Ltd, on the assumption that she extracts all ofthe company’s profits, will be ￡58,000. Charles owns two investment properties that together generate after taxincome of ￡8,500. He estimates that he could earn ￡28,000 after tax if he were to return to work.The couple’s annual surplus income, after payment of all household expenditure including mortgage payments of￡900 per month, is ￡21,000. Charles and Jane have no other sources of income.Required:(a) Write a letter to Jane setting out:(i) the arguments that HMRC could put forward, based only on the facts set out above, in support ofapplying the IR 35 legislation to Speak Write Ltd; and(ii) the additional income tax and national insurance contributions that would be payable, together withtheir due date of payment, if HMRC applied the IR 35 legislation to all of the company’s income in2006/07. (11 marks)
The above chart shows individual income tax in China. The tax free threshold is 3,500 RMB per month. The tax rates are divided into 7 brackets. The lowest rate is 3% for income between 3,501 and 5,000, while the highest rate is 45% for income over 80,000. Therefore, the higher our income is, the more tax we should pay. Tax, which can be used in public services such as education, road construction, public health and so on, is very important to our country. As we all know, tax makes up a great part of our country’s revenue, and the development of our country depends on it. From what has been discussed above, we can see that it is everyone’s legal duty to pay tax because taxes contribute to the country and create benefits for everyone. Those who try to evade taxation are sure to be punished. In short, paying tax is our responsibility to society.Decide if each of the following statements is TRUE (T) or FALSE (F).1. The purpose of the passage is to help people know the tips how to pay less tax.()2. According to the chart, if a person’s monthly is 3600 yuan, he doesn’t need to pay tax.()3. How much income tax a person pays each month depends on how much his/her income is.()4. The underlined word “evade” in the last paragraph means increase.()5. Personal income taxes are included in a government’s revenue.()
听力原文：The tax return does not show accrued income.(8)A．The tax return is not shown in the income.B．The income is not accurate in taxation.C．The tax should be returned according to the income.D．The tax return is not in accordance with the income that should be taxed.
Chip, a single individual has two sales of stock during the current year. The first sale produces a short-term loss of $10,000 and the second sale results in a long-term gain of $40,000. Chip's taxable income without considering the gain is $150,000. Chip's stock transactions will increase his income tax liability by:()。A、$3,000B、$4,500C、$6,600D、$7,200E、$9,000
Income tax【个人所得税】 For many young Americans, graduating from college means finding a job, moving out of the dorm room and beginning to register one's annual earnings with the US government. That last item is the law, though sometimes it's a hassle(难事)to obey. Independent tax advisor Bob Gilbert calls the US income tax system "amazingly complicated". But he adds that "very little of the complicated tax law applies to young people who are just beginning their careers". According to Gilbert, 80 to 90 percent of Americans are not really burdened by the system's complications. Still, all the numbers and forms can be a little confusing to those who are just starting their careers. Some pull out their calculators and try to do the math alone. Some use income tax software. Others just hand the whole responsibility over to tax firms like Gilbert's. According to income tax law expert Linda Beale, young people will often follow their parents' lead when filling their income forms. "Young people who grow up in wealthy households typically use professional tax services because their parents have always done so," said Beale, a professor at Wayne State University in Michigan State. "On the other hand, most poorer young people probably try to do their own taxes, unless they want a quick 'refund' with the help of a tax advisor". In fact, obeying the law has its benefits. For one, many young people can expect a tax refund. This means that, over the course of the year, they have paid too much in monthly federal or state taxes and are entitled to the difference. Bob Thalman, a 20-year-old university student, expects he will get a refund of about 100, which will probably go in the bank, or perhaps be used to pay for car insurance or credit card bills. Thalman called the whole process a "hassle", but added that he didn't wat to test the law by not filling his income tax papers. "I'm worried about what would happen if I failed to file," he said. "I know one individual who did not report his income tax for many years, and he's now in federal prison. I certainly don’t want that."文章(16~22)A college student with a part-time job is not required to file an income tax form.A.RightB.WrongC.Not mentioned
单选题Income tax rates are（）to one's annual income.ArelatedBdependentCbasedDassociated