Adjusting provision for taxation
The tax calculation is designed to only post tax expense values where there are months of profit. This means that where a month is in a breakeven position, or a loss position, that Spotlight will not post any tax values.
To adjust the system calculated provision for taxation (Income Tax or Corporation Tax) within Spotlight Forecasting, you can use a Balance Sheet rule.
- Within the forecast, open the Balance Sheet tab.
- Open the Current Liabilities section, use the Add Account button to create a Taxation Adjustment account (if this does not already exist).
- Click Add Rule, then enter a name for the rule.
- From the Rule Type drop-down list, choose Balance Sheet.
- From the Select Account to Apply Rule To drop-down list, choose your Taxation Adjustment account.
- From the Journal To drop-down list, choose the Profit & Loss Tax account.
- Click Next, then enter the required monthly figures for the adjustment journal.
- Click Next, then click Save Rule.
The adjusted provision for taxation values now appear in your Balance Sheet and Profit & Loss.