For the three years ending December 31, 2020 through December 31, 2022, a corporation's combined federal and provincial income tax payable is as follows:

2020 = $153,640

2021 = $163,420

2022 = $172,340 (Estimated)

Case One

The taxpayer is a small CCPC.

Case Two

The taxpayer is a publicly traded corporation.

Required:

1. For each of the preceding independent Cases, provide the following information:

a. Indicate whether instalments are required during 2021. Provide a brief explanation of your conclusion.

b. Calculate the amount of instalments that would be required under each of the acceptable methods available.

c. Indicate which of the available methods would best serve to minimize instalment payments.

2. If either Company did not make any instalment payments towards its 2022 income tax payable, and did not file its corporate income tax return or pay its income tax payable on time, indicate how the interest and penalty amounts would be determined (a detailed calculation is not required).