Short Term Timing Difference

To access this screen select Edit, Deferred Tax, Short Term Timing Difference.

Entering timing differences.

Use this screen to enter the opening and closing values for timing differences.

When entering figures into the screen, there is a choice of picking up a trial balance item or adding a freeform item.

To make an entry left click on the words: 'click here to add information.'

To post a trial balance item, select 'IRIS Account' and either:

• click on the magnifying glass to display a list of account balances from which you can select the account you want to include, or

• enter the account number into the field.

To make a freeform posting select freeform values. This enables you to enter a:

• description

• closing balance

• opening balance

Any postings made in the screen can be deleted by highlighting the posting and clicking delete, and similarly postings can be edited by highlighting the posting and clicking select.

Tax Rates.

The current tax rate is calculated automatically by IRIS using figures from the CT600.

The calculation IRIS uses is:

(Box 63 - Box 64) / Box 37 = Tax rate.

It is however possible to overwrite this rate of tax but this is currently an irreversible process, so once the rate of tax has been changed business tax will not recalculate this figure.

Last years tax rate will be brought forward from the previous period if the Deferred Tax screens were used last year.

Reporting.

Business Tax will calculate the movement for the deferred tax report.

To print this report select Reporting, Deferred Tax, Summary of Timing Differences.