AC319: Business Tax

Module code: AC319

Module provider: Business Informatics, Systems and Accounting; Henley Business School

Credits: 20

Level: 6

When you'll be taught: Semester 1

Module convenor: Mrs Alice Bowen, email: alice.bowen@henley.ac.uk

Pre-requisite module(s): BEFORE TAKING THIS MODULE YOU MUST TAKE AC110 AND TAKE AC221 (Compulsory)

Co-requisite module(s):

Pre-requisite or Co-requisite module(s):

Module(s) excluded: IN TAKING THIS MODULE YOU CANNOT TAKE AC108 (Compulsory)

Placement information: na

Academic year: 2024/5

Available to visiting students: Yes

Talis reading list: No

Last updated: 19 November 2024

Overview

Module aims and purpose

This module builds on the knowledge acquired in AC221 Personal Tax and introduces students to the main areas of UK taxes applicable to businesses, including income tax, capital gains tax, corporation tax, national insurance and VAT.

To enable students to understand and calculate the taxes arising as a result of running a business as a sole trader, a partnership or via a limited company. To calculate income tax, national insurance contributions, capital gains tax, corporation tax and VAT in given scenarios and to apply the reliefs available.

Students undertaking this module will understand the basics of the UK tax system as required by professional accountants and gain relevant practical knowledge for running a business.

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Module learning outcomes

By the end of the module, it is expected that students will be able to:

1. Identify the administrative obligations the UK tax system imposes on different businesses.
2. Calculate the amounts of income tax owed by or to individuals on income from self-employment.
3. Calculate the amounts of national insurance payable by businesses.
4. Calculate the capital gains tax payable by individuals and the chargeable gains subject to corporation tax. Explain and apply the business reliefs available on chargeable gains.
5. Calculate the corporation tax payable by companies.
6. Calculate the amount of VAT owed by or to businesses.

The module also aims to encourage the development of oral communication skills and the students’ effectiveness in group situations. Structured activities are designed to develop independent learning, including reflective, adaptive and collaborative learning.

Module content

• Introduction to trading profits (sole trader and partnership), including adjustment to profits, capital allowances, basis periods and losses.
• Capital gains tax for individuals and chargeable gains for companies; including calculation of losses and business reliefs.
• Introduction to corporation tax; allowable and disallowable expenditure, taxable profits, calculation of corporation tax, losses, tax administration.
• Groups of companies.
• Introduction to VAT; taxable and exempt supplies, calculation of input and output VAT, special schemes applicable to small businesses.

Structure

Teaching and learning methods

Lectures will be used for the exposition of the main concepts, principles and techniques associated with the discipline. Seminars will focus on numerical practice and discussion of examination style questions. Lectures will be recorded using learning capture technology, where possible, and Blackboard will be used to support and structure the module.

Study hours

At least 38 hours of scheduled teaching and learning activities will be delivered in person, with the remaining hours for scheduled and self-scheduled teaching and learning activities delivered either in person or online. You will receive further details about how these hours will be delivered before the start of the module.

Please note the independent study hours above are notional numbers of hours; each student will approach studying in different ways. We would advise you to reflect on your learning and the number of hours you are allocating to these tasks.

Semester 1 The hours in this column may include hours during the Christmas holiday period.

Semester 2 The hours in this column may include hours during the Easter holiday period.

Summer The hours in this column will take place during the summer holidays and may be at the start and/or end of the module.

Assessment

Requirements for a pass

Students need to achieve an overall module mark of 40% to pass this module.

In conjunction with AC221 Personal Tax, this module contributes to the Taxation module of the ACCA Applied Skills level and the Principles of Taxation module of ICAEW ACA Certificate level. In order to apply for ACCA or ICAEW credit for prior learning, a minimum mark of 50% must be obtained both on this module and AC221 Personal Tax.

Summative assessment

Penalties for late submission of summative assessment

The Support Centres will apply the following penalties for work submitted late:

Assessments with numerical marks

• where the piece of work is submitted after the original deadline (or any formally agreed extension to the deadline): 10% of the total marks available for that piece of work will be deducted from the mark for each working day (or part thereof) following the deadline up to a total of three working days;
• the mark awarded due to the imposition of the penalty shall not fall below the threshold pass mark, namely 40% in the case of modules at Levels 4-6 (i.e. undergraduate modules for Parts 1-3) and 50% in the case of Level 7 modules offered as part of an Integrated Masters or taught postgraduate degree programme;
• where the piece of work is awarded a mark below the threshold pass mark prior to any penalty being imposed, and is submitted up to three working days after the original deadline (or any formally agreed extension to the deadline), no penalty shall be imposed;
• where the piece of work is submitted more than three working days after the original deadline (or any formally agreed extension to the deadline): a mark of zero will be recorded.

Assessments marked Pass/Fail

• where the piece of work is submitted within three working days of the deadline (or any formally agreed extension of the deadline): no penalty will be applied;
• where the piece of work is submitted more than three working days after the original deadline (or any formally agreed extension of the deadline): a grade of Fail will be awarded.

The University policy statement on penalties for late submission can be found at: /cqsd/-/media/project/functions/cqsd/documents/qap/penaltiesforlatesubmission.pdf

You are strongly advised to ensure that coursework is submitted by the relevant deadline. You should note that it is advisable to submit work in an unfinished state rather than to fail to submit any work.

Formative assessment

Formative assessment is any task or activity which creates feedback (or feedforward) for you about your learning, but which does not contribute towards your overall module mark.

Formative assessments are available in the textbook for all weeks of the module to enable students to gain the necessary practice. This work is primarily designed as a learning vehicle, and students will be provided with marking guides and feedback where appropriate so that they can assess their own performance.

Reassessment

Additional costs