Re: corporation tax on P&L

On 16 Apr, 11:11, Ronald Raygun <no.s...@xxxxxxxxxxxxxxxxxxxxx> wrote:

You have more than the tax on the profit.  You have the whole profit.
It all "moves" from P&L to the balance ***.  The tax part moves to
Creditors, the rest to something like Retained Profit, under the
umbrella of Shareholders' Funds.  At some point you will decide what
to do with the profit, i.e. dole it out as dividends or re-invest it
in the business, or keep it in reserve.

Thanks Ronald and the others who replied. I like the whole "moving"
analogy, suddenly the P&L and balance *** have come to life as I see
the amounts moving around. Whether or not I give up and hand it to the
pros I've at least learned something about how my numbers - the output
of my book keeping - work their way through to the final accounts.

Many people do just that, at least for simple things like plumbing in
a new sink, doing an oil change, or dealing with cuts and grazes.  For
most simple problems you don't need a professional, you just need
someone to show you how it's done.

In many cases these days if find I do a better job of the basic
repairs, diy jobs etc than the so called pros. Recently I've been
tiling, laying floors, replacing a three port valve to fix my central
heating etc. I've used commons sense, logic, trial and error and lots
of internet resources to get me there. I know my limits and at a
certain point I would have to give up and hand over to the pros - I'm
still figuring out those limits with the accounts but there is no harm
trying and learning.
Thanks again.
.