Choices for the box are:

302/3% (Taxable income - income subject to SBD)

302/3% x Aggregate investment income

381/3% x non-eligible dividends paid

Abatement - 10% of taxable income

Active business income

Aggregate investment income

Balance at end of previous year

Basic federal tax - 38% of taxable income

Business income from the wholesale business

Business limit

Dividend refund

Dividend refund for preceding year

Dividends from Canadian corporations

Dividends from connected corporations (PQ Ltd.)

Dividends from non-connected corporations

Donations

Eligible dividend

Eligible dividends from public companies

Eligible dividends paid

Eligible RDTOH balance

Income subject to SBD

Interest income from bonds

Interest income on overdue trade accounts receivable

Net income for tax purposes

Non-capital losses

Non-eligible dividend

Non-eligible dividends from PQ Ltd

Non-eligible RDTOH balance

Part I tax

Part I tax payable

Part IV tax on eligible dividends

Part IV tax on non-eligible dividends

Part IV tax payable

Refundable Part I tax - least of:

Taxable capital gain

Taxable income

Taxable income - income subject to SBD

Cinder Inc. is a Canadian-controlled private corporation based in your province. The company operates a wholesale business. The following information is provided for its year ended May 31, 2023: 1. Net income for tax purposes is $221,000. The following are included in this amount. 2. PQ Ltd. is a Canadian-controlled private corporation. Cinder owns 60% of its common voting shares. In 2023, PQ claimed the small business deduction on $416,000 of its active business income. PQ paid a non-eligible dividend of $16,000, of which Cinder's share is $12,000(60%). As a result of the dividend, PQ recelved a dividend refund of $7,000 from its non-eligible RDTOH. 3. Cinder made contributions of $10,000 to registered charities. This amount has been correctly adjusted for in computing net income for tax purposes. 4. The following information is from the 2022 Tax return of Cinder. 5. On May 31, 2023, Cinder paid taxable dividends of $32,000 (eligible $16,000 and non-eligible $16,000 ) to its shareholders. Required: Determine Cinder's federal income tax for the 2023 taxation year, (Use 0.3067 when multiplying to represent 30%. and 0.3833 when multiplying to represent 381/3%. Do not multiply by more than 4 decimal places and round your final answer to the nearest Jollar. Enr Agg Part IV Tax 381/3%x%x Less: Add: Add: (i) (ii) (iii) Non-eligible RDTOH Eligible RDTOH Add: Dividend Refund (i) Lessor of: (a) 381/3% (b) Plus (ii) Lessor of: (a) Add: Eligible RDTOH Dividend Refund (i) Lessor of: (a) 381/3% (b) Plus (ii) Lessor of: (a) (b) Federal income tax payable