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Make sure the correct tax year has been selected before printing the computation.
Click here to go to the FAQs for trade computations including:
The trade computation will show the basis of taxation used to compute the profits for the client's sole trades and partnerships. It will also show the class 4 NIC computation for the client. If the results are not as expected, it may be due to incorrect or insufficient information. Check the following:
The trading start date has been entered.
The trading end date has been entered.
That all accounting periods have been entered or that all account periods in the current and previous tax years have been entered. Also ensure that any account periods ending in the following year have been entered where this may be needed for a change of accounting period, opening or penultimate trading period. If an account period is required but is missing or no figures have been entered, IRIS will produce an exception report.
Check that there are no spurious accounting end dates. For example an end date one day prior to the start of trading. In such cases the date should be deleted using database tidy. If a half-year account period has been inserted for management accounting purposes, this should be removed or moved. Management accounts require special account periods so as to avoid causing this kind of problem.
For partners, check that the involvement start and end dates have been correctly entered. Please note that the involvement dates are not used for sole traders.
The trading start and end dates, accounting period end dates and involvement dates are entered via the 'Related' tab on the central client maintenance screens Unwanted account period dates must be deleted.
IRIS automatically computes the results under transitional and current year basis rules. It caters for the opening and closing year rules and for changes in the accounting date. It will store and utilise overlap profits as appropriate. It automatically apportions the profits for any account periods used. Therefore do not try to apportion any amounts entered.
Losses will not automatically be set against other income. A s380 claim must be made by entering the amount of loss to offset against other income. To make a s380 claim, enter the 'loss offset against other income' (as a positive number) on the adjustments to profit and loss for tax screen (sole trades) or the share of trading income screen (partnerships).