Question
As a Salesperson, you are attempting to determine the maximum amount of expenses you are entitled to claim for the tax year. Given the following,
As a Salesperson, you are attempting to determine the maximum amount of expenses you are entitled to claim for the tax year.
Given the following, compute the maximum total employment expenses the taxpayer may claim:
Income:
Salary income for year | 25,000 |
Sales commission income for the year | 6,000 |
Expenses:
Motor Vehicle Operating Costs (Gas, R+M, Insurance, etc.) | $4,200* |
CCA on Personal Vehicle used for work purposes | $2,200* |
Hotel Costs travelling for Work | $1,000 |
Advertising Expenses | $600 |
Depreciation on tables and chairs owned by taxpayer and used for work | $350* |
Actual Meal Costs while travelling for work | $500 |
Office Supplies used for work purposes | $50* |
Home Office: Utilities | $525* |
Home Office: Property Taxes | $450* |
Home Office: House Insurance | $180* |
Personal Residence: Remodeling Master Bathroom | $6,000 |
Note #1: The above expenses marked with an * have already been adjusted to back out any personal amount and the figure presented is the employment use amount.
Note #2: Assume the above expenses were required as a condition of employment and no reimbursement or allowances were received from the employer.
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