Use the transitional profit calculator

The Transitional profit calculator helps you to calculate the Total transitional profit within the tax year 2024 due to HMRC’s Basis period reform.

To learn more, refer to the HMRC basis period reform. To help calculate your Transition profits, refer to Transitional rules.

If the Accounting/Basis period has NOT been extended to 31/03/24 - 05/04/24

1. From the Clients menu, select Clients list.
2. Change the client list view to either Active clients or a custom view that includes all relevant clients.

If any of the entries are greyed out and you cannot select them, this is a restricted item — the parent client record has been set to Private and you do not have access. If you believe this is a mistake, contact your IRIS Elements administrator. Users who have Administrator level permissions are able to view all public and private client records, even those where they are not named as assigned users.

3. Select the relevant client.
4. From the Trust tax returns widget on the client dashboard, select the required return.
5. On the Data input tab, (if you haven’t already) add the Partnership section.
6. Scroll down to the Transitional Profit sub-section. Next to Profit/(loss) of the transition part of the basis period, select Transitional profits Calc….
7. Enter the Next accounting period's start and end date.
8. Enter the Next accounting period’s profit/(loss) amount.
9. If you are happy with the transitional profits calculations, select Accept, otherwise select Override calculated apportioned transition profits? and adjust as required.

If the Accounting/Basis period has been extended to 31/03/24 - 05/04/24

1. From the Clients menu, select Clients list.
2. Change the client list view to either Active clients or a custom view that includes all relevant clients.

If any of the entries are greyed out and you cannot select them, this is a restricted item — the parent client record has been set to Private and you do not have access. If you believe this is a mistake, contact your IRIS Elements administrator. Users who have Administrator level permissions are able to view all public and private client records, even those where they are not named as assigned users.

3. Select the relevant client.
4. From the Trust tax returns widget on the client dashboard, select the required return.
5. On the Data input tab, (if you haven’t already) add the Partnership section.
6. Scroll down to the Transitional Profit sub-section. Next to Profit/(loss) of the transition part of the basis period, select Transitional profits Calc….
7. If you are happy with the transitional profits calculations, select Accept, otherwise select Override calculated apportioned transition profits? and adjust as required.
8. Enter the exact opposite value to the value in Profit/(loss) of the transition part of the basis period in Adjustment to arrive at profit for the basis period or Basis period adjustment.

   For example, if Profit/(loss) of the transition part of the basis period is a positive value, then Adjustment to arrive at profit for the basis period needs to be the exact same value but a negative value (and vice versa).