ACA ICAEW BPT March 2021

Original post by lw98089

Hey, yeah it was translated correctly, I also said that it was included in trading but should have been NTLR!

Thing is you cant expand much apart from that and I cant think of any other tax implications. I assume the adjustment was maybe 5-6 marks min but what else can we write. This paper was messed up

Reply 22

lw98089

OP

Original post by Sd981

Cool that’s good to hear haha! I looked at it for ages thinking I must have missed something but hopefully not.

How about the losses element of the first question, do you guys think it would be worth a significant amount of marks? Always hard to judge with those ones especially when there’s quite a few requirements in the one question.

Usually it’s pretty easy to judge, I did a Kaplan course and we spent a lot of time learning how to judge how many marks a question was worth, but this was SO difficult to judge! I honestly have no clue, I’m hoping the last part (explain how raising finance would affect the shareholders) was only worth a few marks as I really didn’t know much about that. Hoping they’re generous with marks on this paper as a lot of people seemed to find it quite difficult.

Reply 23

Original post by lw98089

Usually it’s pretty easy to judge, I did a Kaplan course and we spent a lot of time learning how to judge how many marks a question was worth, but this was SO difficult to judge! I honestly have no clue, I’m hoping the last part (explain how raising finance would affect the shareholders) was only worth a few marks as I really didn’t know much about that. Hoping they’re generous with marks on this paper as a lot of people seemed to find it quite difficult.

Yes, I'm hoping the marks were very heavily geared towards the adjustments in part one of question one which I suspect they may be. Yes, here's hoping they are generous!

Reply 24

Original post by lw98089

Usually it’s pretty easy to judge, I did a Kaplan course and we spent a lot of time learning how to judge how many marks a question was worth, but this was SO difficult to judge! I honestly have no clue, I’m hoping the last part (explain how raising finance would affect the shareholders) was only worth a few marks as I really didn’t know much about that. Hoping they’re generous with marks on this paper as a lot of people seemed to find it quite difficult.

You know the shareholding finance bit where only two shareholders exercised their holding, the third one who didnt is meant to perceive it as a disposal (I didnt get that, not sure many people did) because his control is diluted. Debentures I wrote about interest deductibility and all that malarkey but apart from that I cant tell what else to do

Reply 25

Does anybody remember if the loan made to the guy in the second question was done at a beneficial interest rate and thus required a benefit calculation?

Reply 26

Original post by Sd981

Does anybody remember if the loan made to the guy in the second question was done at a beneficial interest rate and thus required a benefit calculation?

I messed that adjustment up, focused on the other two to save time

Reply 27

The other two were a share buy back and a disposal to daughter with gift relief right?

Reply 28

Original post by Sd981

The other two were a share buy back and a disposal to daughter with gift relief right?

yeah but the share disposal was via income distribution since capital distribution conditions did not apply

Reply 29

Original post by Ryanrr

yeah but the share disposal was via income distribution since capital distribution conditions did not apply

Yeah that was because he didn't meet the reduced shareholding rule if I remember correctly.

Reply 30