Mock Exam Flashcards
Georgina, aged 82, has a pension income of £13,570 and gross interest from her savings account of £4,000. What is her total income tax liability in the current tax year?
1.
£0
2.
£200
3.
£800
4.
£1,000
Abdul’s new employer has advised him that, as part of his remuneration, he will be provided with company-paid death in service benefit, critical illness cover and private medical insurance. Which of these will be treated as a benefit in kind?
1.
Death in service and the private medical insurance
2.
Critical illness cover and the private medical insurance
3.
Only the private medical insurance
4.
All of them will be a benefit in kind
Mary is completing a tax return. She is accounting for gains made on disposal of a unit trust, but only half of the Capital Gains Tax (CGT) exemption is available to her. This is MOST likely to be because the tax return is for…
1.
a company that has not been trading for a full 12 months
2.
a minor
3.
a bare trust where the beneficiary has been classed as vulnerable
4.
a discretionary trust
A company paying class 1 NICs would see these as…
1.
deductible as an expense from net profits
2.
deductible as an expense from gross profits
3.
non-deductible from gross profits
4.
a capital allowance
James and Janet have both been provided with very similar company cars. Janet is paying less tax than James on the car, what is the most likely reason for this?
1.
Janet’s car is diesel powered whereas James’s car is petrol powered
2.
James’s car is diesel powered whereas Janet’s car is petrol powered
3.
James received the car second hand whereas Janet had it from new
4.
Janet received the car second hand whereas James had it from new
Craig is selling his buy to let property that he bought in 1999. During the period since 1999 he incurred various expenses. Which of the following expenses can be deducted for Capital Gains Tax (CGT) purposes?
i. Costs associated with buying
ii. Costs associated with selling
iii. Insurance costs
iv. Maintenance and upkeep costs
v. Costs of an extension
1.
Only i and ii
2.
Only i, ii, iv, v
3.
Only iii, iv
4.
Only i, ii, v
