Chapter 15 - Taxable total profits Flashcards
1
Q
What are the four key differences when computing the taxable trading profits for a company?
A
- Private use adjustments
- Interest payable/receivable
- Dividends payable
- Capital allowances
2
Q
What is the difference with Private use adjustments for companies?
A
- Private expenses of a director or employee of a company are fully allowable
- Private use of assets by a director or employee of the company is ignored in the capital allowances calculation.
3
Q
What is the difference with Dividends payable for companies?
A
Not allowable as a trading expense
