A module introducing the main principles of taxes on corporate bodies, and of capital taxes as they apply to individuals and corporations. It also introduces the main principles of taxation of income of individuals and unincorporated businesses.


This module aims to advance students' understanding of the UK taxation system, the impact of various taxes, particularly corporation tax and capital taxes, on individuals, the interaction between taxes; tax avoidance; overseas aspects of personal and corporate taxes; UK income tax system.

Learning Outcomes

By the end of this module the student should be able to:

1.  demonstrate an understanding of the structure and administration of the UK tax system as it affects individuals;

2.  prepare computations for showing trading profits and losses for unincorporated businesses.

3.  demonstrate an understanding of Value Added Tax; and when the VAT is chargeable and recoverable;

4.  prepare capital gains tax and inheritance tax computations; also understand and calculate the effect of residence, ordinary residence and domicile on UK tax liabilities;

5.  prepare computations showing the profits chargeable to corporation tax for UK companies;

6.  prepare computations showing the offset of losses in UK companies and utilise privileges of group status effectively.

Indicative Content

1 Taxation

A general introduction to taxation. Appreciation of the administrative procedures followed by the tax authorities in assessing and collecting taxes.

2 Trading Income

The nature of business profits assessable under the UK tax system. The computation of taxable profits and basis of assessment. The calculation of capital allowances. Setting-off of income tax losses for businesses run by sole traders and partnerships.

3 Taxation of the Individual

Independent taxation. Sources of income including benefits in kind. Personal allowances and reliefs. Losses arising from property income.

4 Value Added Tax

Principles, outputs and inputs, exemptions, zero rated, partly exempt businesses.

5 Corporation Tax and Corporate groups

Compilation of income assessable including capital gains. Rates of tax. Financial years and payment of tax. The effects of close company status.The use of losses in a single company context. The treatment of groups of companies and consortia. The application of capital gains tax provisions on transactions of companies.

6 Management of Personal Taxation

Calculation of capital gains/losses and liabilities arising on disposals. Principles of inheritance tax and treatment of liabilities arising on lifetime gifts and on death. Inter-relationship of taxes and identification of opportunities to minimise or defer taxation liabilities.

7 Tax planning and Overseas Taxation

Inter-relationship of taxes, planning, anti-avoidance and tax management. Overseas aspects of personal and corporate taxation.

Statement on Teaching, Learning and Assessment

Class contact will alternate between lecture and tutorial work, with lectures providing key input on concepts and contexts, and tutorial work involving students in individual and group activities and discussion. The assessment is designed to give the opportunity for the application of tools and concepts, and address learning outcomes as specified.

Teaching and Learning Work Loads

Total 200
Lecture 12
Tutorial/Seminar 24
Supervised Practical Activity 0
Unsupervised Practical Activity 0
Assessment 60
Independent 104

Guidance notes

Credit Value – The total value of SCQF credits for the module. 20 credits are the equivalent of 10 ECTS credits. A full-time student should normally register for 60 SCQF credits per semester.


We make every effort to ensure that the information on our website is accurate but it is possible that some changes may occur prior to the academic year of entry. The modules listed in this catalogue are offered subject to availability during academic year 2019/10 , and may be subject to change for future years.