Adjustment of Profit
This section is designed to analyse tax-relevant information attributable to trade or property business. It includes the following sheets:
- Adjustment of profit
- The purpose of this sheet is to take the accounting profit or loss before tax, attributable to a trade or property business, apply the necessary tax adjustments and calculate the profit or loss for each accounting period. Where a company has more than one trade, the trading profits or losses must be calculated separately for each trade. New trades can be added to the computation by selectingBusiness-trade or propertyfrom theInsert sheetsmenu.
- Adjustment details
- This sheet is used to analyse all information relevant to expenses that can be attributed to the trade or property business for tagging purposes. This sheet is inserted automatically with each trade together with theUK trade lossesandCapital allowance summarysheets.
Completing the Sheets
Adjustment of Profit
This sheet automatically calculates
Adjusted profit or loss
based on figures analysed in the Income statement
. Details of tax adjustments relevant to the trade or property business are linked from other parts of the computation automatically. A column is inserted for each accounting period created by the user. Figures are automatically apportioned between accounting periods based on the number of business days. However, you can choose an alternative basis by checking the box. On this sheet you can also choose the business type (trade or property, UK or overseas) and add the commencement or cessation dates of the trade.If you are a Non-UK resident landlord, you can select the Landlord residence status on this sheet. If as a Non-UK resident landlord you have multiple property rental businesses, you should also select this option on the
Permanent information
sheet.Adjustment Details
This sheet is populated automatically by the various adjustments in the computation. Manual entry rows are available in case you need to make any changes to the analysis.