Tx notes fa22 Final

June 2023 to March 2024 exams
Watch free ACCA TX lectures
Answer to Example 7
 
 
 
 
Greater of
• 
£10,000
• 
1% 
×
700,000 = £7,000
The de minimis level is therefore £10,000. As the error is less than the de minimis level, it can be 
disclosed on the next VAT return, that is the VAT return for the quarter to 31 March 2023. No interest 
will be charged by HMRC but a penalty for submission of an incorrect return could be imposed, 
unless Blanche Ltd simply made a mistake. But if HMRC believes Blanche Ltd failed to take 
reasonable care, the penalty may be 30% 
×
£8,500 = £2,550.
Answer to Example 8 
1.
The export of of goods to the VAT registered customer in France and Australia will be zero 
rated.
2.
The import of goods from both the supplier in the USA and in Germany will involve a “self 
supply” with output VAT of (£20,000 + £12,000)
×
20% = £6,400 being accounted for by BW 
Ltd on its VAT Return for quarter to 31 March 2023. As BW Ltd makes wholly taxable supplies 
the same amount of £6,400 can be recovered as input VAT and therefore no VAT cost will be 
incurred.

---

291
Only on 
OpenTuition
you can find: Free ACCA notes 
•
Free ACCA lectures 
•
Free ACCA tests 
•
Free ACCA tutor support 
•
The largest ACCA community
June 2023 to March 2024 exams
Watch free ACCA TX lectures
ACCA (TX-UK)
PRACTICE QUESTIONS 
1. Kate 
PAYE of £505 was deducted from the Employment Income.
Calculate the amount of income tax payable by Kate for 2022/23. 
2. Jessica 
Jessica had the following income and outgoings for 2022/23:
Trading profit
90,000
Bank Interest received
20,000
Gift Aid (amount paid)
1,600