This unit introduces students to taxation for taxpayers in the UK. It introduces students to the different types of income that a UK taxpayer may have, including from employment, self-employment, property and investments. Students will be able to calculate each type of income. Students will also be able to calculate National Insurance contributions on relevant types of income. This unit also introduces students to Capital Gains Tax. Students will be able to calculate Corporation Tax for companies, including income from trading, property and interest, as well as chargeable gains for companies.
Students will also understand the administrative requirements of UK tax law, including the implications of errors, and late filing or late payments. Finally, students will understand ethical issues facing UK taxpayers and the responsibilities that an agent has in giving advice on tax issues to business clients. Students will also be able to identify tax planning opportunities, while understanding the importance of maintaining ethical standards.
Percentage contribution of this unit to the overall qualification grade: 15%.
Learning outcomes
- Understand the UK tax system and ethical behaviour.
- Calculate Income Tax and National Insurance contributions.
- Identify types of income.
- Calculate Capital Gains Tax payable by UK taxpayers.
- Prepare tax computations for trading companies.
- Understand administrative requirements of the UK’s tax regime.
- Understand tax planning opportunities.
