08-10-2003, 01:01 PM
Hi Khawer!
Just to let u know, i am not in ACCA program. My efforts here are totally voluntary. I did some research and came up with the following.
I did manage to trace ICTA 1988 on a website, it is in precise legal language (as it should be)Man those Englishman like to make life complicated for everyone. Also there was an exact same type of question in June 2002 exam paper. If u don't have past exam papers they are on ACCA web site. I would solve this as follows
...........<b>Year ended....Period ended....Year ended....Year ended
..............30 Sep'00......31 Mar'01......31 Mar'02.....31 Mar'03</b>
Trad Profits.....14,000......------.......23,500.........----....
Loss relief
under s 393(1)....7,000......------.......1,800(N2).....----....
Loss relief
under s 393(9)....-----......------........ 200(N3)......----....
................-------.....---------........--------......------...
.....................7,000....----...........21,500.......------...
Sched A...........800 .......400............. 800........-----800.
................--------.....--------.......-------....... ---------
.....................7,800.....400...........22,300.............800.
Gains...........-----........700...........------...........1,900.
..................------......-------.......--------........-------.
.....................7,800......1,100.........22,300 .......2,700.
Trad charges. ....200......-----.............200...........-----.
.................------......-----..........--------.........-------
.....................7,600......1,100.........22,100 .......2,700.
Loss relief
s..393(A).........7,100(N1)..1,100.........22,100...........2,700.
.................--------....-----..........-------.........--------
PCTCT............ 500......-----..........-------.........--------
.................========...======..........=======........ ========
N1 Since the period from which the loss is being carried back was only six months, therefore, the relief is restricted to 1/2 the profits before charges 14,000+200=14,200/2=7.100.
N2 Total loss of 10,000 for period ending March 31, 2001 is utilized by reducing profits of 2001 of 1,100 and loss c/b to 2000 of 7,100. This left only 1,800 which is c/f to y/e March 31, 2002.
N3Trade charges of a loss year are c/f and deducted against the trading profits of the year loss is being c/f to under s 393(9).
<b> The rest of the figures are easy to follow </b>
Hope i help u in some way to understand the situation.
Take Care
Edited by - Pervez on Aug 10 2003 081014 AM
Edited by - Pervez on Aug 10 2003 082102 AM
Edited by - Pervez on Aug 10 2003 083628 AM
Edited by - Pervez on Aug 10 2003 084514 AM
Just to let u know, i am not in ACCA program. My efforts here are totally voluntary. I did some research and came up with the following.
I did manage to trace ICTA 1988 on a website, it is in precise legal language (as it should be)Man those Englishman like to make life complicated for everyone. Also there was an exact same type of question in June 2002 exam paper. If u don't have past exam papers they are on ACCA web site. I would solve this as follows
...........<b>Year ended....Period ended....Year ended....Year ended
..............30 Sep'00......31 Mar'01......31 Mar'02.....31 Mar'03</b>
Trad Profits.....14,000......------.......23,500.........----....
Loss relief
under s 393(1)....7,000......------.......1,800(N2).....----....
Loss relief
under s 393(9)....-----......------........ 200(N3)......----....
................-------.....---------........--------......------...
.....................7,000....----...........21,500.......------...
Sched A...........800 .......400............. 800........-----800.
................--------.....--------.......-------....... ---------
.....................7,800.....400...........22,300.............800.
Gains...........-----........700...........------...........1,900.
..................------......-------.......--------........-------.
.....................7,800......1,100.........22,300 .......2,700.
Trad charges. ....200......-----.............200...........-----.
.................------......-----..........--------.........-------
.....................7,600......1,100.........22,100 .......2,700.
Loss relief
s..393(A).........7,100(N1)..1,100.........22,100...........2,700.
.................--------....-----..........-------.........--------
PCTCT............ 500......-----..........-------.........--------
.................========...======..........=======........ ========
N1 Since the period from which the loss is being carried back was only six months, therefore, the relief is restricted to 1/2 the profits before charges 14,000+200=14,200/2=7.100.
N2 Total loss of 10,000 for period ending March 31, 2001 is utilized by reducing profits of 2001 of 1,100 and loss c/b to 2000 of 7,100. This left only 1,800 which is c/f to y/e March 31, 2002.
N3Trade charges of a loss year are c/f and deducted against the trading profits of the year loss is being c/f to under s 393(9).
<b> The rest of the figures are easy to follow </b>
Hope i help u in some way to understand the situation.
Take Care
Edited by - Pervez on Aug 10 2003 081014 AM
Edited by - Pervez on Aug 10 2003 082102 AM
Edited by - Pervez on Aug 10 2003 083628 AM
Edited by - Pervez on Aug 10 2003 084514 AM
