Partnership Tax Question

J

JohnKelly

Registered User
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8
Hi all,

I am about to prepare my income tax return, Form 11, for 2018. I was a partner in a partnership for during 2018 and left in July 2019. The partnership accounts are made up to 31st May each year. I have final accounts for the partnership for the year ended 31st May 2018 and draft accounts for the year ended 31st May 2019. My question is this: When filing my income tax return for 2018, do I just include my share of the tax adjusted profits for the accounts year ended 31st May 2018 or do I need to include my share of the tax adjusted profits for the calendar year ended 31st December 2018? (ie taking 5/12 of my share of profits for accounts year ended 31st May 2018 and 7/12 of my profits share for year ended 31st May 2019).

Thanks in advance,

John.
 
My view is that the your 31/05/2018 should be your accounts for 2018. For 2019, the year of cessation, your basis of assessment will be actual 5/12 of the 2019 accounts and 2/12 of the 2020 year. From memory you will need to revise your 2018 to actual if it give a higher figure than already returned. Actual will be 5/12 of 31/5/2019 and 7/12 of 31/5/20. I think this is done on your 2020 tax return.
 
Thank you both for your replies. The partnership started many years ago. I was an employee of for most of 2017 but joined the partnership in October 2017.

John.
 
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