Given: You are working with ABCD tax consultant group, new client; Leduc Corporation asks you to help them to identify there tax payables, and they provide you with the following information. Leduc co. is a Canadian Controlled Private Corporation and the Taxable Capital Invested in Canada $5,000,000. Its business activity importing consumer goods from South Africa, and distribute to different retailers in Canada.

They provide you with there Income statement before taxes for the year ending Dec 31, 2019.

Leduc Corp.

Income Statement before Taxes

Year ending Dec 31, 2019

Net Sales	$8,000,000
Cost Of goods Sold	$6,550,000
Gross Profit	$1,450,000
Selling and administration Expenses:
Selling expenses	$382,000
Wages and Salaries	$308,000
Rent and office expenses	$276,000
Depreciation Expense	$50,000
Other Expenses	$189,000
Total Expenses Not including Income Taxes	$1,205,000
Other Income	$167,000
Income before Taxes	$412,000

Leduc corp. did not complete there Balance Sheet but they provide you with some accounts balances:

• Equipment $426,000 (net of $414,000 Accumulated Amortization, the original costs was $ 840,000; UCC $256,000 all equipments in class 8 (CCA rate 20%)).
• Future income tax liability $153,000;
• Investment in Devon Corp. $ 285,000 (this equal to 2% of the market value of Devon voting shares, (not connected))
• Retained Earning $2,000,000.

Note1) Other expenses includes; Interest paid on the business line of credit$7,000; Charitable Donation $65,000; Fuel costs $74,000; Meals and entertainment $ 6,720; Province of Alberta Golf club membership dues $ 2,800 and professional service fees $33,480

Note2) Other Income includes; Interest Revenue $20,000 from Canadian sources; Dividend Income $90,000 from Devon Corp. Canadian corp.; Gain on Sale of equipment $57,000 (Equipment original cost was $62,000; net book value $27,500; and sold for $84,500)

Note3) While you interview the client you found that, Leduc co. is associate with Devon co. and the agreed to split and business deductions / credit equally.

Required: (To answer)

For Leduc co, taxation year ended Dec 31, 2019, calculate the following items:

• Minimum Net Income for Tax Purposes, if any
• Taxable Income for the Year, if any

Note: Please show all the calculations used to provide the required information, including those for which result in Nil.