TAXATION ACCA
NOTES
Comprehensive ACCA UK taxation (TX-UK) notes for
UK-TX FA24
Finance Act 2024. Structured according to the ACCA
syllabus, these notes break down complex tax rules into
clear, exam-focused summaries. Ideal for revision, quick
reference, and building exam confidence.
Miral Tukadiya
(ACCA Student)
, Table of Contents
1. UK TAX SYSTEM............................................................................................................. 2
2. INCOME TAX COMPUTATION ...................................................................................... 6
3. PROPERTY INCOME .................................................................................................... 18
4. TRADING LOSS RELIEF .................................................................................................... 23
(FOR SOLE TRADER) ........................................................................................................... 23
5. CAPITAL ALLOWANCE ................................................................................................... 26
6. PARTNERSHIP .................................................................................................................. 34
7. EMPLOYMENT INCOME ................................................................................................. 37
8. NIC ................................................................................................................................. 54
9. ADMINISTRATION OF INCOME TAX COMPUTATION .................................................... 57
10. CGT – GENERAL PRINCIPLE FOR INDIVIDUAL ............................................................. 62
11. CGT – CHATTELS, LANDS AND BUILDING .................................................................... 68
12. CGT – SHARES .............................................................................................................. 75
13. CGT – RELIEF FOR INDIVIDUAL..................................................................................... 84
14. CORPORATE TAX - TAX COMPUTATION AND ADMINISTRATION ............................... 94
15. TAXABLE TOTAL PROFIT .............................................................................................. 106
16. CT – CHARGEABLE GAIN ........................................................................................... 121
17. CT – LOSS RELIEF ........................................................................................................ 127
18. CT – GROUP RELIEF .................................................................................................... 131
© 2025 Miral Tukadiya
This material is my original work, written, compiled, and structured for personal study purposes.
Sources: ACCA Study Hub materials and other online resources.
Unauthorized reproduction or distribution is strictly prohibited.
All rights reserved.
1
, 1. UK TAX SYSTEM
WHAT DOES THIS CHAPTER INCLUDE:
→ Residential status of company and individual for tax purpose
→ Ethics of accountant
→ Misconducts by auditor and penalties for that
→ Tax agent’s general failures and penalties
→ General Anti-Abuse Rule (GAAR)
RESIDENCY
INDIVIDUAL RESIDENCY :
Automatic UK resident.
Automatic overseas resident.
Sufficient tie test.
1. AUTOMATIC RESIDENT:
only home in UK.
Working full-time in UK. At least 365 days without significant break and 75%
work on UK.
2. AUTOMATIC OVERSEAS RESIDENT.
→ Wasn’t UK resident = less than 46 days
→ Was UK resident = Stayed less than 16 days.
→ Working overseas full-time without significant breaks, with fewer than 91 days
spend in UK including 30 working days in UK.
3. SUFFICIENT TIE TEST:
FAMILY: UK resident Spouse or children under 18 or partner.
WORK: 40 Days or more in UK in anytime of tax year.
ACCOMMODATION: Having place to live (whether own or relatives in UK at least
for 91 Days.
90 DAYS: Stayed in UK for at least 90 days in previous 2 tax year.
2
, COUNTRY: Stayed in UK most days than any other country
CORPORATE RESIDENCY:
Company’s central management and/or business within UK.
Central management and control refers to the highest level of decision-
making authority in a company—typically exercised by the board of
directors. It determines where the company is tax resident, based on where
strategic decisions are actually made and implemented.
ETHICS OF ACCOUNTANT
1. GUIDANCE ON THE PROCEDURE OF THE EVENT OF
POSSIBLE IRREGULARITY IN CLIENT'S TAX AFFAIRS:
Here your examiner wants to see “professionalism + integrity.”
• Integrity: Always act honestly, never knowingly let a false return stand.
• Objectivity: Don’t let client pressure sway your judgment.
• Professional competence & due care: Keep up to date, give accurate
advice.
• Confidentiality: Don’t disclose client info unless required by law (e.g.
money laundering report).
• Professional behaviour: Comply with laws/regulations, avoid actions
that discredit the profession.
Applied to the scenario:
• Advise the client to disclose the gain.
• If they refuse, explain consequences in writing.
• If still no disclosure, you must report under Money Laundering Regs
(because tax evasion = criminal conduct).
• Cease to act, and notify HMRC you no longer act (but without giving
reasons).
3
NOTES
Comprehensive ACCA UK taxation (TX-UK) notes for
UK-TX FA24
Finance Act 2024. Structured according to the ACCA
syllabus, these notes break down complex tax rules into
clear, exam-focused summaries. Ideal for revision, quick
reference, and building exam confidence.
Miral Tukadiya
(ACCA Student)
, Table of Contents
1. UK TAX SYSTEM............................................................................................................. 2
2. INCOME TAX COMPUTATION ...................................................................................... 6
3. PROPERTY INCOME .................................................................................................... 18
4. TRADING LOSS RELIEF .................................................................................................... 23
(FOR SOLE TRADER) ........................................................................................................... 23
5. CAPITAL ALLOWANCE ................................................................................................... 26
6. PARTNERSHIP .................................................................................................................. 34
7. EMPLOYMENT INCOME ................................................................................................. 37
8. NIC ................................................................................................................................. 54
9. ADMINISTRATION OF INCOME TAX COMPUTATION .................................................... 57
10. CGT – GENERAL PRINCIPLE FOR INDIVIDUAL ............................................................. 62
11. CGT – CHATTELS, LANDS AND BUILDING .................................................................... 68
12. CGT – SHARES .............................................................................................................. 75
13. CGT – RELIEF FOR INDIVIDUAL..................................................................................... 84
14. CORPORATE TAX - TAX COMPUTATION AND ADMINISTRATION ............................... 94
15. TAXABLE TOTAL PROFIT .............................................................................................. 106
16. CT – CHARGEABLE GAIN ........................................................................................... 121
17. CT – LOSS RELIEF ........................................................................................................ 127
18. CT – GROUP RELIEF .................................................................................................... 131
© 2025 Miral Tukadiya
This material is my original work, written, compiled, and structured for personal study purposes.
Sources: ACCA Study Hub materials and other online resources.
Unauthorized reproduction or distribution is strictly prohibited.
All rights reserved.
1
, 1. UK TAX SYSTEM
WHAT DOES THIS CHAPTER INCLUDE:
→ Residential status of company and individual for tax purpose
→ Ethics of accountant
→ Misconducts by auditor and penalties for that
→ Tax agent’s general failures and penalties
→ General Anti-Abuse Rule (GAAR)
RESIDENCY
INDIVIDUAL RESIDENCY :
Automatic UK resident.
Automatic overseas resident.
Sufficient tie test.
1. AUTOMATIC RESIDENT:
only home in UK.
Working full-time in UK. At least 365 days without significant break and 75%
work on UK.
2. AUTOMATIC OVERSEAS RESIDENT.
→ Wasn’t UK resident = less than 46 days
→ Was UK resident = Stayed less than 16 days.
→ Working overseas full-time without significant breaks, with fewer than 91 days
spend in UK including 30 working days in UK.
3. SUFFICIENT TIE TEST:
FAMILY: UK resident Spouse or children under 18 or partner.
WORK: 40 Days or more in UK in anytime of tax year.
ACCOMMODATION: Having place to live (whether own or relatives in UK at least
for 91 Days.
90 DAYS: Stayed in UK for at least 90 days in previous 2 tax year.
2
, COUNTRY: Stayed in UK most days than any other country
CORPORATE RESIDENCY:
Company’s central management and/or business within UK.
Central management and control refers to the highest level of decision-
making authority in a company—typically exercised by the board of
directors. It determines where the company is tax resident, based on where
strategic decisions are actually made and implemented.
ETHICS OF ACCOUNTANT
1. GUIDANCE ON THE PROCEDURE OF THE EVENT OF
POSSIBLE IRREGULARITY IN CLIENT'S TAX AFFAIRS:
Here your examiner wants to see “professionalism + integrity.”
• Integrity: Always act honestly, never knowingly let a false return stand.
• Objectivity: Don’t let client pressure sway your judgment.
• Professional competence & due care: Keep up to date, give accurate
advice.
• Confidentiality: Don’t disclose client info unless required by law (e.g.
money laundering report).
• Professional behaviour: Comply with laws/regulations, avoid actions
that discredit the profession.
Applied to the scenario:
• Advise the client to disclose the gain.
• If they refuse, explain consequences in writing.
• If still no disclosure, you must report under Money Laundering Regs
(because tax evasion = criminal conduct).
• Cease to act, and notify HMRC you no longer act (but without giving
reasons).
3
