Business Tax Accounts Option

The option is accessed via:

• Edit, Business Tax Accounts for client specific changes; or

• Setup, Business Tax Accounts and select the chart to be changed for chart changes.

What does this option do?

This option determines how certain accounts are treated in the computations by grouping those accounts in to preset categories such as Global Disallowed Expenses, Depreciation etc.  For example account 321 - Entertainment is automatically added back to arrive at the trading profit because it is included in the Global Disallowed Expenses group in the Business Tax Accounts Option.

Can the user change the settings?

Users may modify the default settings for each category at either client or chart level. Sometimes a client may need account codes to be treated differently in Business Tax to give the correct results; or perhaps the practice would prefer Entertainment to be posted to a different account number.

Click here for help on changing the categories.  

iXBRL and tagging accounts postings

Due to changes to online filing and tax computation reporting requirements, users that have customised the default Business Tax Account setting may be required to provide additional information to ensure the information is reflected correctly in the iXBRL computation. Accounts under most of the preset categories are automatically tagged for any account included in that category. For example, if a another account is added in the Property Income category then the iXBRL Corporation Tax Computation will tag that account with the appropriate property income tag automatically.

The following two screens however require further information in order for these items to be correctly tagged when they have been customised from the default settings;

• Global Disallowed Trading Expenses

• Global Disallowed Tradine Income

When any accounts have been added to either of these two categories an appropriate income or expense category must be selected to ensure these are correctly tagged in the iXBRL Tax Computation.

How are the accounts in each category treated in the computations?

Click on the category below to see the effect of having an account in that category and to see the default accounts for that category.

Highlight the category to be amended and click on Edit. If an adjustment has already been made the customised column will indicate this.