The course

1
Start here
The exam: Section A, one 50-mark case study on several taxes (35 technical, 5 ethics and 10 professional skills marks); Section B, two compulsory 25-mark questions (20 technical and 5 professional skills marks each) covering business and personal tax; 3 hours 15 minutes; 100 marks; pass mark 50%
Free: A tour of the Advanced Taxation exam
2
Income tax and national insurance: area A1
Examined in the written questions of both sections. Course practice: 6 objective questions a topic in the course's own format, plus exam-style questions
Residence, the FIG regime and overseas income and gains 6 short questionsShare schemes, lump sums and personal service companies 6 short questionsThe unincorporated business: profits, losses and incorporation 6 short questionsInvestment income, jointly held assets, children and trust income 6 short questionsEIS, SEIS, venture capital trusts and pensions 6 short questions
3
Capital gains tax: area A2
Examined in the written questions of both sections. Course practice: 6 objective questions a topic in the course's own format, plus exam-style questions
Capital gains: spouses, connected persons, timing and losses 6 short questionsLand, leases, wasting assets, compensation and negligible value 6 short questionsShares: rights issues, qualifying corporate bonds and reorganisations 6 short questionsCapital gains reliefs: EIS and SEIS, business asset disposal relief, incorporation 6 short questions
4
Inheritance tax and trusts: area A3
Examined in the written questions of both sections. Course practice: 6 objective questions a topic in the course's own format, plus exam-style questions
Inheritance tax: scope, valuation, reliefs and exemptions 6 short questionsFree: Inheritance tax on lifetime gifts and death, and its payment 6 short questionsTrusts: inheritance tax, capital gains and the beneficiaries 6 short questions
5
Corporation tax: area A4
Examined in the written questions of both sections. Course practice: 6 objective questions a topic in the course's own format, plus exam-style questions
Close companies, investment companies, winding up and share buybacks 6 short questionsTaxable total profits: R&D, loan relationships, intangibles and losses 6 short questionsCorporation tax: overseas aspects and double tax relief 6 short questionsFree: Groups, consortia and the substantial shareholding exemption 6 short questions
6
Stamp taxes, VAT and administration: areas A5 and A6
Examined in the written questions of both sections. Course practice: 6 objective questions a topic in the course's own format, plus exam-style questions
Stamp duty, stamp duty reserve tax and stamp duty land tax 6 short questionsVAT: land and buildings, partial exemption and the capital goods scheme 6 short questionsAdministration, offshore penalties and the ethics of tax advice 6 short questions
7
Taxes in combination and planning: areas B and C
Examined in the written questions of both sections. Course practice: 6 objective questions a topic in the course's own format, plus exam-style questions
Taxes in combination: finance, cash flows and tax planning 6 short questions
8
Written questions in the exam’s shapes
9 questions shaped like the exam's Section A and Section B questions: figures checked, written parts read by Mia.
Written questions, the first free
9
Timed practice exams
The whole exam on the clock, 100 marks in 195 minutes: a 50-mark Section A case study and two Section B questions of 25 marks. Figures are checked and written parts read by Mia.
Practice exam 1, free Practice exam 2

		Normal rates	Dividend rates
Basic rate	£1 – £37,700	20%	8·75%
Higher rate	£37,701 – £125,140	40%	33·75%
Additional rate	£125,141 and over	45%	39·35%
Savings income nil rate band – Basic rate taxpayers			£1,000
Savings income nil rate band – Higher rate taxpayers			£500
Dividend nil rate band			£500

	£
Personal allowance	12,570
Transferable amount	1,260
Income limit	100,000

Days in UK	Previously resident	Not previously resident
Less than 16	Automatically not resident	Automatically not resident
16 to 45	Resident if 4 UK ties (or more)	Automatically not resident
46 to 90	Resident if 3 UK ties (or more)	Resident if 4 UK ties
91 to 120	Resident if 2 UK ties (or more)	Resident if 3 UK ties (or more)
121 to 182	Resident if 1 UK tie (or more)	Resident if 2 UK ties (or more)
183 or more	Automatically resident	Automatically resident

The relevant base level of CO2 emissions is 55 grams per kilometre.
The percentage rates applying to petrol cars (and diesel cars meeting the RDE2 standard) with CO2 emissions up to this level are:
51 grams to 54 grams per kilometre	16%
55 grams per kilometre	17%
The percentage for electric cars with zero CO2 emissions is 3%.
For hybrid-electric cars with CO2 emissions between 1 and 50 grams per kilometre, the electric range of the car is relevant:
130 miles or more	3%
70 to 129 miles	6%
40 to 69 miles	9%
30 to 39 miles	13%
Less than 30 miles	15%

Annual allowance 2022/23	£40,000
2023/24 to 2025/26	£60,000
Minimum allowance	£10,000
Threshold income limit	£200,000
Income limit	£260,000

Plant and machinery
Main pool	18%
Special rate pool	6%
Cars
New cars with zero CO2 emissions	100%
Second-hand cars with zero CO2 emissions	18%
CO2 emissions between 1 and 50 grams per kilometre	18%
CO2 emissions over 50 grams per kilometre	6%
Annual investment allowance
Rate of allowance	100%
Expenditure limit	£1,000,000
Enhanced capital allowances for companies
Main pool first year allowance	100%
Special rate pool first year allowance	50%
Structures and buildings allowance
Straight line allowance	3%

Financial year	2023	2024	2025
Small profits rate	19%	19%	19%
Main rate	25%	25%	25%
Lower limit	£50,000	£50,000	£50,000
Upper limit	£250,000	£250,000	£250,000
Standard fraction	3/200	3/200	3/200

Standard rate	20%
Registration limit	£90,000
Deregistration limit	£88,000

Days late	Penalty
Up to 15 days	None
16 to 30 days	3%
More than 30 days	6% plus a daily penalty at an annual rate of 10%

Nil rate band	£325,000
Residence nil rate band	£175,000
Rate of tax on excess over nil rate band – Lifetime rate	20%
– Death rate	40%

Years before death	Percentage reduction
More than 3 but less than 4 years	20%
More than 4 but less than 5 years	40%
More than 5 but less than 6 years	60%
More than 6 but less than 7 years	80%

Lifetime limit – business asset disposal relief	£1,000,000
investors’ relief	£1,000,000
Rate of tax	14%

Class 1 Employee	£1 – £12,570 per year	Nil
	£12,571 – £50,270 per year	8%
	£50,271 and above per year	2%
Class 1 Employer	£1 – £5,000 per year	Nil
	£5,001 and above per year	15%
	Employment allowance	£10,500
Class 1A		15%
Class 4	£1 – £12,570 per year	Nil
	£12,571 – £50,270 per year	6%
	£50,271 and above per year	2%

Official rate of interest	3·75%
Rate of interest on underpaid tax	8·50%
Rate of interest on overpaid tax	3·50%

Taxpayer behaviour	Maximum penalty	Minimum penalty – unprompted disclosure	Minimum penalty – prompted disclosure
Deliberate and concealed	100%	30%	50%
Deliberate but not concealed	70%	20%	35%
Careless	30%	0%	15%

Up to 10,000 miles	45p
Over 10,000 miles	25p

Up to £150,000	0%
£150,001 – £250,000	2%
£250,001 and above	5%

The course

Start here

Income tax and national insurance: area A1

Capital gains tax: area A2

Inheritance tax and trusts: area A3

Corporation tax: area A4

Stamp taxes, VAT and administration: areas A5 and A6

Taxes in combination and planning: areas B and C

Written questions in the exam’s shapes

Timed practice exams