Daisy Cheng is a widow and employed by a publicly traded corporation and her 2022 salary is $80,000. In addition to the salary, Daisy also received the following payment from her employer:

Bonus $3,000 received on December 31, 2022

$3,000 to be received on January 15, 2023

Commission $20,000 received on December 15, 2022

The information related to Daisy's employment is as follows.

• The employment related withheld amount in 2022

EI premiums $ 953 (Max)

CPP contributions 3,500 (Max)

RPP contributions 7,400

Federal Tax 10,800

• Daisy has an employment contract with the employer that requires her to pay for her own sales related expenses and does not receive allowance from her employer.

In 2022, Daisy incurred and paid the following expenses earning the income:

Advertising$5,000Client entertainment 10,000Travel Costs 11,000

• Daisy's employer sent her to study a marketing course and an advanced Excel course in 2022, as her responsibilities had expanded. The total tuition fee paid by her employer amounted to $3,000.

• Daisy was granted options to buy 1,000 of the companys shares at $30 per share. This option price was higher than the estimated FMV of the companys shares at the time the options were granted in January 2020. On December 15, 2022, Daisy exercised these options to purchase 1000 shares. At this time the FMV of the shares was $48 per share. Daisy has not sold the shares.

Other economic activities related to Daisy:

• Daisy owned two residential rental properties. Both properties are in separate Class 1.

At the beginning of the year Property A has a UCC of 385,000 and Property B has a UCC of 400,000. In 2022 Daisy added major capital improvements to Property B for a cost of $25,000 and sold Property A during the year for $410,000 (the original cost of the building was $400,000).

Property A earned net rental income (before consideration CCA) of $4,000 and property B had a net rental loss of $8,000.

• Daisy received $1,500 in dividends from her investment in shares of a Canadian public corporation.

Other information related to Daisy

• Daisys mother, who is 70 and physically infirm, lives with her. Her mother has a net income of $8,000.
• Daisys husbands pass away on November 20, 2021, as a result she received $50,000 life insurance payment from her husbands insurance company and death benefit from her husbands employer of $25,000 in 2022.
• Daisy has a 4-year-old son, Daisy put him in a daycare close to her work, so she can go to pick him up after she finish work. She paid a total of $5,500 for the child care in 2022. Assume Daisys earned income is 80,000 for claiming childcare expense.

Required:

Calculate Daisy Chengs 2022 minimum Net Income, Taxable Income, and determine her federal income tax payable or refund. Show full solution step by step.