Question 1a self emp. Note 1, 3
On 30 June 2011 Josie Jones, aged 42, ceased self-employment as a graphic designer. On 1 August 2011 she commenced employment with Typo plc as a creative director. The following information is available for the tax year 2011–12:
Self-employment
(1) Josie’s trading profits for the final two periods of trading were as follows:
| £ | |
|---|---|
| Year ended 30 April 2011 | 98,200 |
| Two-month period ended 30 June 2011 | 16,600 |
Both these figures are before taking account of capital allowances.
(2) The tax written down value of the capital allowances main pool at 1 May 2010 was £13,200. On 21 May 2011 Josie purchased computer equipment for £3,600. All of the items included in the main pool were sold for £7,700 on 30 June 2011, with no item being sold for more than its original cost.
(3) Josie has unused overlap profits brought forward of £41,700.
Required:
What trading profits will be taxed on cessation?