Question  :
a) Discuss the six badges of trade with examples? (15 marks)

b) Briefly discuss the different VAT schemes available to the VAT registered business?
(10 marks)

Page | 4


Question 4 :

On 23 August 2015, Peter made a gift of a house valued at £420,000 to his son, John. This
was a wedding gift when John got married. The nil rate band for the tax year 2015/16 is
£325,000.