Personal Tax- Period Reform 2024: Make election to bring in all profits to current tax year and not spread tax over 5 years + OPT OUT

personal-tax-basis-period-reform-2024-how-to-make-an-election-to-bring-in-all-of-the-profits-to-the-current-tax-year-and-not-spread-the-tax-over-5-years

Personal Tax- Period Reform 2024: Make election to bring in all profits to current tax year and not spread tax over 5 years + OPT OUT

11th July 2024

IRIS Personal Tax- Basis Period Reform 2024: How to make an election to bring in all the profits to the current tax year and not spread the tax over 5 years. OPT out option?

Please do the following to resolve your issue: –

1. Go to Personal Tax
2. Income Tab | Trade Profession or Vocation | Sole Trade or Partnership
3. Double click on the Accounting Period
4. Transitional Period Profits – tick the magnifying glass
5. Step 5: Apportioned Transition Profit – tick the box and manually enter the FULL/edited amount
6. Run Tax Comp – at the bottom the FULL or edited amount will be listed and be taxed.
7. Please Note: The minimum amount that can be elected is 20%.

How to Opt out?

• Go to Personal Tax
• Income Tab | Trade Profession or Vocation | Sole Trade or Partnership
• Double click on the Accounting Period
• Transitional Period Profits – tick the magnifying glass
• At the very bottom tick ‘Opt out’