Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Can someone do part (i) please Question 3 Cooper Ltd is a VAT registered company that makes both standard-rated and zero- rated supplies. The following
Can someone do part (i) please
Question 3 Cooper Ltd is a VAT registered company that makes both standard-rated and zero- rated supplies. The following information relates to the VAT quarter for the three month period ended 30 April 2019. All supplies are stated exclusive of VAT but expenses are stated inclusive of VAT: Supplies: Standard-rated Zero-rated 86,400 4,900 Expenses (all standard rated): Computer supplies, stationery and other office costs UK client entertaining Staff entertaining Purchase of a new car used by an employee 30% for private purposes: CO2 emissions of 145 g/km Purchase of computer equipment 3,590 360 720 7,900 840 In addition, one of Cooper Ltd's customers went into liquidation in April 2019, still owing a debt of 1,700, which has now been written off. The invoice to the customer was issued on 12 November 2018 with payment due immediately. Required: (i) Calculate the VAT payable by Cooper Ltd for the three months ended 30 April 2019, making clear your treatment of each item. (9 marks) (ii) Explain how any irrecoverable VAT for Cooper Ltd is treated for corporation tax purposes. (6 marks) (Total - 15 marks)Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started