Hook, Line and Sinker begin trading as a partnership on 1 July 2018, sharing profits equally. The

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Hook, Line and Sinker begin trading as a partnership on 1 July 2018, sharing profits equally.

The chosen accounting date is 30 June and the first accounts are made up for the year to 30 June 2019. In addition to its trading income, the partnership has non-trading income as follows:

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(a) Compute each partner's income from property for tax years 2018-19, 2019-20 and 2020-21.

(b) Compute the gross amount of loan interest on which each partner is taxed in tax years 2018-19 and 2019-20.

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Taxation Finance Act 2020

ISBN: 9781292360713

26th Edition

Authors: Alan Melville

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Question Posted: Feb 10, 2024 01:01 AM

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Hook, Line and Sinker begin trading as a partnership on 1 July 2018, sharing profits equally. The

Question:

Income from property Net loan interest received from a company y/e 30/6/19 7,500 2,400 y/e 30/6/20 9,000 3,600

Step by Step Answer:

a Each partner is allocated property income of 2500 in the year to 30 June 2019 and 3000 in ...View the full answer

Taxation Finance Act 2020

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