Module Information

Module Identifier
Module Title
Academic Year
Semester 2 (Taught over 2 semesters)
Reading List

Course Delivery



Assessment Type Assessment length / details Proportion
Semester Exam 1.5 Hours   In-class test  30%
Semester Exam 3 Hours   70%
Supplementary Exam 1.5 Hours   Test  30%
Supplementary Exam 3 Hours   70%

Learning Outcomes

On successful completion of this module students should be able to:

1. ​​Critically evaluate the justification for taxation in a civilized society; and explain in detail features and rules of the UK tax system, in particular those relating to Income Tax, Capital Gains Tax, Corporation Tax, Inheritance Tax and Value Added Tax; and identify direct/indirect taxes, capital/current taxes and progressive/proportional and regressive taxes.

2. Critically evaluate current bases of taxation in terms of their efficiency, equity and cost of compliance.

3. Identify and critically discuss the key issues in taxation at the inter-state level.

4. Critically evaluate the implications of taxation for the functioning of capital markets.

5. Explain, discuss, evaluate and calculate the presentation in and impact upon accounts of deferred tax with a comparison of latest and previous treatment where pertinent.

6. Critically evaluate pricing, costing and budgeting in the private sector, public sector funding requirements and mechanisms and the role of the private finance initiative and partnerships in public sector reform.​​

Brief description

This module provides an understanding of the principles underlying the design of an effective taxation system, an introduction to the UK Tax system, deferred taxation and an appreciation of the current policy issues in taxation, including public and private sector financing. The module focuses on six main aspects: the economic characteristics and assessment of effective tax system design; a broad description of the UK tax system; international considerations including tax co-ordination, competition and the taxation of e-commerce; conceptual issues in tax planning and the impact of taxation on capital markets; deferred taxation and public and private sector financing.




​Introduction to taxation
- Objectives, operation, scope and evaluation of taxation systems
- Sources of UK tax law
- Classification of taxes

The UK tax system
- Income tax liabilities of individuals
- National Insurance contributions and benefits in kind Corporation Tax liabilities of companies and groups of companies, tax treatment of trading losses
- Capital Gains Tax: chargeable gains arising on companies and individuals
- Inheritance Tax liabilities of individuals, quick succession relief
- Value Added Tax

Principles of taxation
- Incidence, efficiency, equity, flexibility, certainty, convenience, compliance and administrative costs
- Obligations of taxpayers, implications of non-compliance and ethical issues

International Taxation: taxation of cross border transactions and interaction between jurisdictions.
- Factors affecting liability - Domicile, ordinary residence
- Residence principle, Source principle,
- Companies’ residency
- Double tax relief
- Common avoidance practices - tax havens, transfer pricing, Controlled Foreign Corporations

Current issues in tax policy
- E-commerce, tax competition - EU actions
- OECD and tax harmonization

Principles of tax planning
- Tax evasion, tax avoidance
- Capital market effects of taxation (implicit/explicit taxes)

Deferred taxation
- Need for deferred taxation
- Accounting profit and taxable profit
- Regulatory requirements

Private/Public sector financing
- Pricing, costing and budgeting in the private sector
- Public sector funding requirements and mechanisms
- Private finance initiative, partnerships and outsourcing
- Impact of funding mechanisms on public sector change and reform

Module Skills

Skills Type Skills details
Application of Number Apply numerical data to problem solving with care and accuracy Evaluation of numerical problems in lecture and tutorial examples and appropriate examination questions.
Communication Develop confidence in and clarity of oral communication via example class/tutorial participation. Develop clarity and focus of written communication via development of answers to self study questions. Develop and use appropriate subject-specific vocabulary in oral and written communication.
Improving own Learning and Performance Identify and distil the key issues covered by lectures, tutorials and self study. Identify and use a range of learning resources. Investigate benefits of small group working on self study. Structure study to accommodate intensive learning.
Information Technology Use a variety of electronic web- and library-based resources to review available information and retrieve pertinent information.
Personal Development and Career planning Preparation for seminar tasks will encourage initiative, independence and self-awareness.
Problem solving Whilst being introduced to the UK tax system, students will explain and compute the income tax liabilities of individuals, the corporation tax liabilities of companies, the chargeable gains arising on companies and individuals, the Inheritance tax liabilities of individuals and Value Added Tax. Students will compare and apply the various methods for deferred taxation. Scenario-based problems will be introduced in lectures, set as self study questions, applied in seminars and the examination.
Research skills Identify which information sources are available to facilitate module study (understanding, wider reading) for use in seminars and examination. Properly reference/attribute information sources.
Subject Specific Skills Develop competence in understanding and appropriately applying UK tax law. Develop competence in understanding the current policy issues in taxation. Studying taxation engenders a focus on a dynamic subject area, which affects every member of society, thus is useful in both a personal and professional setting. The topic also focuses on ethics, which is relevant to most professional settings.
Team work Develop experience of team work and develop team working skills via small group working on self study. Group work during seminars.


This module is at CQFW Level 6