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34. Ron's Aerobics Ltd., a CCPC located in downtown Winnipeg, Manitoba, has the following taxable income for 20XX 20XX $ 95,000 a. Compute the
34. Ron's Aerobics Ltd., a CCPC located in downtown Winnipeg, Manitoba, has the following taxable income for 20XX 20XX $ 95,000 a. Compute the total tax obligation for Ron's Aerobics in 20XX and income after taxes (assume 9 percent tax rate). b. If Ron pays a dividend of $95,000, what are the total taxes paid (corporate and individual as medium income)? What is the combined tax rate? Assume that Ron's Aerobics has accumulated retained earnings from previous periods. c. If Ron pays a salary of $95,000 what are the total taxes paid (corporate and individual as medium income)? What is the combined tax rate? d. Would Ron's taxes be less if he operated as a proprietorship instead of a corporation?
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