Moving to the Cash Basis of Accounting
Category: Tax | Date: 10/12/2024 12:10 | Duration: 100 mins | Tag: WITXUK24D1S2 | Type: Webinar | Speaker: Carl Bayley
Course Details
From 2024/25 onwards, the cash basis of accounting has become the default method of accounting for tax purposes for most sole traders and partnerships. Many will benefit from its simplicity, but the process of moving to the cash basis is far from simple, and there are still a few pitfalls that mean, for many businesses, it will make sense to opt out and stick with traditional accruals basis accounting. In this session we will look at the process of moving to the cash basis, the planning opportunities available, and the traps to avoid.
In this session Carl Bayley will cover the following topic:
- Restrictions: what restrictions have been removed, and what restrictions remain
- Dealing with capital expenditure under the cash basis
- In or out: which businesses should join the cash basis, and which should avoid it
- Transitional rules: calculating adjustment income or adjustment expenses on joining or leaving the cash basis
- How and when can a business leave the cash basis
- Planning opportunities arising for those joining or leaving the cash basis
By attending this session, delegates will be able to advise clients on the implications of joining the cash basis and whether it is suitable for them; assist them in moving to the cash basis; and provide additional value-added services by pointing out the planning opportunities available.
The session will be of benefit to general practitioners, tax advisers, accountancy students, and accountants working in unincorporated businesses.
Course level: Intermediate
CPD Course Speaker
BSc FCA, Author and Presenter
Carl Bayley
Carl Bayley is the author of a series of ‘Plain English’ tax guides designed specifically for the layman and the non-specialist. His particular specialty is his ability to take the weird, complex, and inexplicable world of taxation and set it out in the kind of clear, straightforward language taxpayers themselves can understand.
Carl takes the same approach when speaking on taxation, a role he frequently undertakes with great enthusiasm, including his highly acclaimed annual ‘Budget Breakfast’ for the Institute of Chartered Accountants. He has spoken on taxation on radio and television, including the BBC’s ‘It’s Your Money’ program and BBC Radio 2’s Jeremy Vine Show.
Carl began his career as a Chartered Accountant in 1983 with one of the ‘Big 4’ accountancy firms. After qualifying as a double prize-winner, he immediately began specialising in taxation. He worked for several major international firms until beginning the new millennium by launching his own practice, through which he provided advice on a wide variety of taxation issues; especially property taxation, inheritance tax, and tax planning for small and medium-sized businesses, for twenty years, before deciding to focus on his favourite role as author and presenter.
Carl is a former Chairman of the Tax Faculty of the Institute of Chartered Accountants in England and Wales and a member of the Institute’s governing Council. He is also a former President of ICAEW Scotland and a member of the ICAEW Board. He has co-organised the annual Practical Tax Conference since its inception in 2002.
Carl takes the same approach when speaking on taxation, a role he frequently undertakes with great enthusiasm, including his highly acclaimed annual ‘Budget Breakfast’ for the Institute of Chartered Accountants. He has spoken on taxation on radio and television, including the BBC’s ‘It’s Your Money’ program and BBC Radio 2’s Jeremy Vine Show.
Carl began his career as a Chartered Accountant in 1983 with one of the ‘Big 4’ accountancy firms. After qualifying as a double prize-winner, he immediately began specialising in taxation. He worked for several major international firms until beginning the new millennium by launching his own practice, through which he provided advice on a wide variety of taxation issues; especially property taxation, inheritance tax, and tax planning for small and medium-sized businesses, for twenty years, before deciding to focus on his favourite role as author and presenter.
Carl is a former Chairman of the Tax Faculty of the Institute of Chartered Accountants in England and Wales and a member of the Institute’s governing Council. He is also a former President of ICAEW Scotland and a member of the ICAEW Board. He has co-organised the annual Practical Tax Conference since its inception in 2002.