ACCA Syllabus Changes Summary

TX-UK Taxation

Topics new to the paper

Syllabus area E2 has had a new part (c)(ii) added which is to extend the computation of capital allowances for companies
to include ‘the main pool super deduction of 130% and special rate pool first year allowance of 50% for expenditure
incurred from 1 April 2021 to 31 March 2023’.
Syllabus area F2 has had a new part (l) added which is to ‘understand postponed accounting for VAT on imports’.
C3(c) has been amended to remove the reference to ‘principal’ in relation to private residences.
The wording in C6(a)(ii) has been amended from ‘gift relief’ to ‘gift holdover relief’.
Other syllabus additions have only been to add new excluded topics which means that new rules are not examinable.
These have not been explained in full here but can be found in the final pages of the full syllabus at the link below:
https://www.accaglobal.com/caribbean/en/student/exam-support-resources/fundamentals-exams-study-
resources/f6/syllabus-study-guide/f6-syllabus-study-guide-united-kingdom-uk.html#

Topics leaving the paper

References to the EU in F2(k) have been removed.

Syllabus changes
The main syllabus for TX-UK is unchanged.
There are 7 syllabus areas:
A Explain the operation and scope of the tax system and the obligations of taxpayer and/or their agents and the
implications of non-compliance
B Explain and compute the income tax liabilities of individuals and the effect of national insurance contributions (NIC) on
employees, employers and the self-employed
C Explain and compute the chargeable gains arising on individuals
D Explain and compute the inheritance tax liabilities of individuals
E Explain and compute the corporation tax liabilities of individual companies and groups of companies
F Explain and compute the effects of value added tax on incorporated and unincorporated businesses
G Demonstrate employability and technology skills

Please note that the syllabus follows Finance Act 2021 legislation

Significant changes to the workbook for exams from June 2022

The notes and examples have all been updated for Finance Act 2021 as per the syllabus updating. While items such as the
rates and allowances updating have not all been listed here they will become apparent while practising with the updated
material. The tax tables will also let you see what has changed.
The following sections have been amended and you should ensure you review these carefully:

• In Chapter 4 the percentages used to calculate car benefits have changed (broadly all increased by 1%). In
particular practice how to calculate the percentage for cars with emissions in excess of 55g/km.

• In Chapter 7, the CO2 emission threshold above which 15% of leasing costs are disallowed has been reduced from

1
 ACCA Syllabus Changes Summary

110g/km to 50g/km.

• In Chapter 8, the thresholds of CO2 emissions which determine how cars are treated for capital allowances has
changed. Only cars with zero CO2 emissions qualify for the 100% first year allowance (previously less than
50g/km). Cars will go in the main pool if they have emissions of 1 to 50g/km and in the special rate pool if emissions
exceed 50g/km. (previous threshold was 110g/km). Questions will not be set involving the thresholds which
previously applied.

• In Chapter 19, the temporary rules concerning enhanced capital allowances for companies have been including.
For acquisitions of new assets (not cars) from 1 April 2021 to 31 March 2023 companies may claim first year
allowances of 130% on main pool and 50% on special rate assets. These first year allowances are not available to
sole traders or partnerships so make sure you review carefully and are confident in how to lay out the pro-forma in
both cases.

• In Chapter 25, the same VAT treatment now applies to all imports, whether from the EU or outside the EU. Review
the new rules on postponed accounting; import VAT no longer has to be paid at the point for entry but is declare on
the VAT return.

Exam format and resources

There are no changes to the exam format for June 2022 to March 2022.
The ACCA website includes past exams for TX including a sample CBE (computer-based exam).
The sample CBE has been updated for Finance Act 2021 and included in the Practice and Revision Kit however, please
note that the sample CBE on the ACCA website was updated to FA21 following publication so there may be some slight
differences.