Day 2. Adjusted Profit / Loss Computations

B1. Adjustment of trading profits / losses for tax purposes

a) Recognise the basis of assessment for self- employment income.
b) Explain the principles of deductible and non- deductible expenditure.
c) Recognise the relief that can be obtained for pre-trading expenditure.
d) Prepare adjusted profit computations.
e) Illustrate the use of capital allowances on commencement and cessation of business.