CANADIAN TAXATION

Jack is 69 years old and has employment income of $48,000, OAS payments of $6,000 and $21,000 of pension income received from his former employer during the year. Jacks T4 from his current employer shows CPP contribution of $2,269.56 and EI premium of $777.60.

Jacks wife Jill is 72 years old and has interest income of $4,725. As Jack and Jill live comfortably on Jacks income alone, they made a political donation of $1,000 and $3,725 donation to a charity in Jacks name. In addition, Jack contributed $5,000 to his RRSP. Valid tax receipts are received for all contributions and donations.

Required:

a) Calculate the minimum 2019 federal Tax Payable for Jack. No provincial amounts are needed. Show all work for full credit.

b) Choose five of the personal tax credits Jack is entitled to claim and list the line numbers where these tax credits would be reported on his T1.