What is changing?
April 2024 will see a change in the way unincorporated businesses are taxed. Sole traders and partnerships will be taxed on their profits generated in the tax year, regardless of their accounting period year-end.
If your accounting period does not end between 31st March and 5th April, these changes will affect you. As the basis period changed to the tax year, apportionment will be required between two accounting periods to calculate the appropriate taxable profits for the year.
As with most legislation changes, your response should depend on your individual or business circumstances. Contact us to discuss what the basis period reform means for you and your business. We can assist with tax planning, accounting year-end adjustments or general support and advice when you need it most.