Hi,
My Ltd company has a cash balance of €50k, in Feb 2018 the company purchased €32k of stock. Therefore case remaining in the bank account is €18k at the end of the year.
No stock has been sold to date.
Do I pay corporation tax on €18k remaining in the business account? Or do I have to pay tax for the full €50k inclusive of value of stock purchased?
Any insight very much appreciated.
Thanks
Letin
My Ltd company has a cash balance of €50k, in Feb 2018 the company purchased €32k of stock. Therefore case remaining in the bank account is €18k at the end of the year.
No stock has been sold to date.
Do I pay corporation tax on €18k remaining in the business account? Or do I have to pay tax for the full €50k inclusive of value of stock purchased?
Any insight very much appreciated.
Thanks
Letin