Tax-efficient year-end dates
You'll learn why choosing the right year end date matters for sole traders under the tax year basis system, and how to avoid unnecessary admin complications when calculating your taxable profits.
This lesson is part of a paid course
Buy the course to unlock every video lesson and the AI Tutor, plus mock exams with feedback on CIMA courses.
Already bought? Sign in
Ask the AI tutor anything about this lesson
It knows every lesson in the course — explanations, clarifications, practice questions.
In this lesson
- 0:00 Tax efficient year end dates
- 0:16 Tax year basis explained
- 0:39 Time apportionment and admin advantages
- 1:31 Transition profits and five year spread
- 2:31 Accelerating transition profits election
About this lesson
This video explains how profits are now apportioned to the tax year (6 April to 5 April), why a 31 March or 5 April year end simplifies your self-assessment process, and how transition profits from the 2023–24 changeover are spread across five years for tax purposes. Essential knowledge for TX (Taxation) and relevant to understanding sole trader compliance under current tax rules.
Duration: 3m
Transcript
Every lesson comes with a full searchable transcript - included with the course.
Get the Advanced Taxation course
All 365 video lessons, an AI Tutor in every lesson and lifetime access.
Already bought? Sign in