EFG Corporation ("EFG") is a Canadian-controlled private corporation and has correctly calculated its net income for tax purposes to be $857,000 for the year ending December 31, 2019, as shown below:

Business income $710,000

Taxable capital gains$80,000

Taxable dividends from Canadian public corporations $32,000

Taxable dividends from XYZ Inc. $5,000

Interest on five-year bonds$30,000

Net income for tax purposes$857,000

EFG owns 100% of the shares of XYZ. For the current year, XYZ claimed the small-business deduction on $80,000 of its active business income.

Additional information:

EFG made charitable donations of $45,000 during the year

Net capital losses were $35,000 as of January 1, 2019

Non-capital losses were $50,000 as of January 1, 2019

At the end of the previous year, EFG had a balance in its non-eligible refundable dividend tax on hand (RDTOH) account of $18,000 and GRIP of $2,000. XYZ received a dividend refund of $1,917 from its non-eligible RDTOH when it paid its dividend of $5,000 to EFG.

EFG calculated a dividend refund of $3,000 for the previous year, based on dividends paid in the previous year.

Eligible dividends of $90,000 and capital dividends of $70,000 were paid by EFG on December 31, 2019.Dividends equal to the GRIP balance were designated as eligible dividends.

For 2018, the taxable capital of EFG and XYZ, combined, was below $10,000,000. As well, the combined adjusted aggregate investment income was below $50,000.

Needed:

1. Determine EFG's federal income tax payable for its 2019 fiscal year (Hint: Start with Federal Tax (@38% of taxable income), Less other items.

2. Determine EFG's refundable dividend tax on hand balances at the end of 2019.

3. Determine EFG's dividend refund for 2019.