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Buffalo Ecology Corporation is an Ontario based company which expects to generate a taxable income of $350,000 from its regular business in the current tax
Buffalo Ecology Corporation is an Ontario based company which expects to generate a taxable income of $350,000 from its regular business in the current tax year. The company is considering a new venture: cleaning up oil spills made by fishing boats in lakes. This new venture is expected to generate additional taxable income of $150,000. Note the limit on small business income is $300,000, the total small business discount tax rate (prov. + fed) is 21.62%, and the full combined tax rate is 44.62% (a) (b) Determine the firm's marginal tax rates before and after the venture. Determine the firm's average tax rates before and after the venture
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