Adjusted trading profit
Start with accounting profit and apply tax adjustments to arrive at taxable profit.
AAT Level 4 · BNTA
Business Tax
Calculate and explain the UK tax consequences of business activities for sole traders and companies.
Unit overview
Understand the method, not just the answer.
Q2022 unit supportThis page supports the AAT Level 4 Diploma in Professional Accounting (Q2022). Check that this is the qualification route shown in your MyAAT account or by your training provider.
BNTA develops a structured approach to adjusted profits, capital allowances, losses and corporation-tax computations. Learners also consider how business decisions affect tax and how advice should be communicated professionally.
Use this page as a starting point for your revision. Work through the topic areas, identify where confidence is lowest and combine independent practice with the linked downloads and free sessions.
Key topics
What to focus on in BNTA.
These topic summaries provide a revision map rather than a replacement for the current AAT specification and your training-provider materials.
Capital allowances
Calculate allowances and balancing adjustments for qualifying expenditure.
Sole traders and partnerships
Calculate taxable profits for sole traders and partners, share partnership profits and work out self-employed National Insurance.
Corporation tax
Calculate company taxable total profits and the resulting corporation-tax liability.
Chargeable gains
Calculate gains and losses on business assets and shares for individuals and companies.
Business disposal reliefs
Apply Business Asset Disposal Relief, rollover relief and gift relief, and explain how they change the tax due.
Loss relief and groups
Apply relevant loss-relief options and recognise the effect of group relationships.
Tax administration and advice
Address deadlines, records, penalties, ethics and the communication of tax implications.
How to revise this unit
- 1Use a fixed adjusted-profit format and identify add-backs and deductions separately.
- 2Create a capital-allowance pool schedule rather than calculating allowances in isolation.
- 3Practise loss-relief questions by setting out each available option and its consequence.
- 4Conclude advice with the liability, deadline and practical next step.
Common pitfalls
- !Treating capital expenditure as an ordinary revenue deduction.
- !Applying an allowance to an asset without checking eligibility and business use.
- !Choosing a loss-relief route without considering timing or the value of the relief.
Free revision posters
Revision posters for BNTA.
Posters published for this unit appear here automatically. Open a poster to view it online or download the PDF for personal study.
Learn live
Upcoming sessions for BNTA.
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ExamReady
BNTA practice questions and a timed mock, from 27 October.
This is independent revision support and is not produced, endorsed or approved by AAT. Always check the current AAT specification, assessment information and your training-provider guidance.