Gina started part-time employment at Fitness Inc. in 2019 , and earned a gross salary of $15,000. She did not have any employment income the previous year. She received free use of the owner's cottage for two weeks in May, which is typically rented out for $500 per week. She has three kids, all under the age of 5 and lives with her husband, Garry who runs his own business.  The children attend daycare four mornings a week during 2019 while their parents worked. Both the couples are eligible for the monthly Canada child benefit for each child. The total cost of the daycare for all three children was $2300.

Gina began a small home-based proprietorship - "Kirsten's Consulting" in 2018 - which generated $250 a month in pre-tax profits in 2019. The business operates from a 200 square foot room in the family's 2000 square foot home and is used exclusively for the business. Gina did not file a tax return in 2018 since she didn't owe any taxes. She also contributed $4,000 to her TFSA in 2019. 

Note : Workspace expenses represent ten per cent of Kirsten and Shane's housing costs. The total housing costs include utilities of $2,400, mortgage interest of $8,400, property taxes of $2,500, and home insurance of $1,200. (The business has met the conditions necessary to allow for the deduction of home-based business expenses).

It is March of 2020 and Gina and Garry come to meet their CPA. They predict that Gina will not have to pay taxes for the 2019 year, which they believe will allow Garry to claim the non-refundable tax credit of 'spouse credit.'

As a CPA, you are required to determine any taxable income, accruing to Gina(if any) for 2019. 

Place of Jurisdiction : Ontario