Question
1. On October 1, 2022, Bs employer provided her with the use of a car. The car was purchased for $40,000 (including tax). The employer
1. On October 1, 2022, Bs employer provided her with the use of a car. The car was purchased for $40,000 (including tax). The employer will also pay for the operating expenses that are expected to be $2,400 annually. B will drive the car 2,000 km per month of which 600 km will be for employment purposes. What amount is included in Bs employment income for tax purposes in 2022?
2. Ps employer provided her with the following gifts and awards: Wedding gift (cutlery) $500; Holiday season gift (art) $500; Excellence award (gift certificate) $100; First long service award for 10 years of service (golf clubs) $2,000. What amount is included in Ps employment income for tax purposes?
3. K receives certain employment benefits in addition to a salary. During the current year, her employer paid for the following benefits: Premium of $250 for group sickness and accident insurance coverage, Annual dues of $1,200 for fitness club membership for personal use, Psychologist fee of $900 for mental health counseling for Ks son, and Premium of $400 for a private health services plan. What amount, with respect to the benefits, is included in Ks employment income for tax purposes?
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Principles of Financial Accounting
Authors: Belverd E. Needles, Marian Powers
12th edition
978-1133940562, 1133940560, 978-1285608464, 1285608461, 1133939287, 978-0357693605, 978-1285607047, 128560704X, 978-1133939283
