How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask bigduckontax Your Own Question
bigduckontax
bigduckontax, Accountant
Category: Tax
Satisfied Customers: 4203
Experience:  FCCA FCMA CGMA ACIS
75394688
Type Your Tax Question Here...
bigduckontax is online now

Doing a set of accounts for a property investment company,

Resolved Question:

Hi,
doing a set of accounts for a property investment company, has rentals and sells the odd property once in while.
when preparing the accounts after they have sold the property do I put the sale proceeds at the top near rental income in the P&L and the purchase costs as part of the expenses.
Or do I use the "exceptional items" line and only put the profit element in using the one figure.
thanks
Submitted: 1 year ago.
Category: Tax
Expert:  bigduckontax replied 1 year ago.

Hello, I am Keith, one of the experts on Just Answer, and pleased to be able to help you with your question.

Companies are not subject to the Capital Gains Tax (CGT) regime, all profits or losses merely being passed throuhgh the trading account.

However, in my opinion, such transactions are exceptional items and the profit element entered as one figure as you suggest.

i do hope that you have found my reply of assistance..

bigduckontax and other Tax Specialists are ready to help you
Expert:  bigduckontax replied 1 year ago.

Thank you for your support.