Principles of Audit and Taxation

Learning Outcomes

Subject Specific Intellectual and Research Skills

Having successfully completed this module you will be able to:

• demonstrate what you have learned both by application to numerical data and in written form.
• apply different audit procedures to a variety of scenarios;
• prepare simple computations for major UK taxes (e.g. income tax, corporation tax, national insurance and capital gains tax);
• compare aspects of the UK tax system with possible alternative systems;

Knowledge and Understanding

Having successfully completed this module, you will be able to demonstrate knowledge and understanding of:

• the principles of personal and business taxation;
• the role of internal audit;
• the systems approach to auditing;
• the main features of the operation of selected UK taxes.

Transferable and Generic Skills

Having successfully completed this module you will be able to:

• demonstrate numeracy and problem solving skills;
• communicate ideas and arguments orally and through formal presentations.
• communicate ideas in a written format;

Audit

• Nature of audit
• Appointment
• Planning, risk and materiality
• Systems approach
• Internal audit

Taxation

• Principles of tax system design: desirable characteristics; tax bases, unit and rates. Direct and indirect taxes.
• Personal taxation: taxation as it effects individuals. The main features of the UK personal taxation system.
• Taxation of business profits and companies: the problems of taxing business and corporate profits; the main features of the taxation of business profits in the UK; the main features of the UK system or corporation tax; issues in taxation of small businesses.

The module will commence with the study of audit. The first six weeks will include a mix of lectures, classes and practical sessions using audit simulation software. The second part of the module will cover taxation. There will be one lecture and one class per week.

Selected exercises will be used to provide formative feedback to students. Additional exercises and reading will be set for private study.

Formative

This is how we’ll give you feedback as you are learning. It is not a formal test or exam.

In-class activities

• Assessment Type: Formative
• Feedback: The audit simulation package will provide formative feedback. Individual group feedback will be given on the draft presentation, and group feedback in the form of 'general lessons learned' will be provided in class.
• Final Assessment: No
• Group Work: No

Summative

This is how we’ll formally assess what you have learned in this module.

Referral

This is how we’ll assess you if you don’t meet the criteria to pass this module.

Repeat

An internal repeat is where you take all of your modules again, including any you passed. An external repeat is where you only re-take the modules you failed.