i - X More Info Part 1 Jane's T4 slip for the current year indicates the following amounts were deducted from her gross salary of $84,000. Deductions Amounts CPP (maximum for the year*) El maximum for the year*) RPP $4,500.00 Pension adjustment 9,000.00 Income Tax deducted 20,000.00 Union Dues 300.00 Charitable donations 1,200.00 * See the current year's tax rate sheet to determine the CPP and El reported on the T4 slip The following amounts are paid by ABC Ltd. and not included on Jane's current year T4 slip Paid by ABC Ltd. Amounts Private health insurance plan premiums $1,800.00 Public health insurance plan premiums 1,500.00 Group term life insurance policy premiums 400.00 Allowance for incidental expenses ($400 per month) 4,800.00 Print Done * More Info . - part 2 ABC Ltd. provided Jane with a motor vehicle for the entire year, and the company also paid for all operating costs for the vehicle, with $5,650 paid for operating costs in the current year. The vehicle was purchased by ABC Ltd. three years ago at a cost of $46,500 (incl. GST). In the current year, Jane drove 24,500 kilometres; 10,500 kilometres were personal, and 14,000 were for employment purposes. On October 1 of the current year, Jane purchased 1,400 shares of ABC Ltd. under a stock option plan. ABC Ltd. is a Canadian public corporation. The following information is provided. Stock Options Option granted on Jan. 1 of the prior year, FMV = $12 per share Option price = $12 per share Option exercised on July 1 of the current year, FMV = $18 per share * Note: On December 31, Jane continues to hold the 1,400 ABC Ltd. shares since she anticipates they will appreciate in value. In the current year, her mother travelled with her to Vancouver when Jane attended a five-day conference for accountants. ABC Ltd. reimbursed her for the full cost of $6,500, of which $2,500 (including GST) was for expenses she incurred for her mother Print Done i More Info . X part 3 On July 1 of the prior year, ABC provided Jane with an employee loan in the amount of $12,000 at the annual interest rate of 1%. The loan requires annual principal repayments of $2,200 on June 30 of each year. Jane made the first annual repayment on June 30 of the current year. Canada Revenue Agency's interest rates for the calendar quarters in the current year are as follows. Quarter Rates Quarter #1 (January 1 to March 31) 3% Quarter #2 (April 1 to June 30) 2% Quarter #3 (July 1 to Sept 30) 3% Quarter #4 (Oct 1 to Dec 31) 3% In the current year, Jane paid the following amount personally: CPA professional dues (annual) in the amount of $1,500 (paid on June 30). Employment expenses: Jane paid for supplies (used for employment purposes) in the amount of $1,400 (expenses occurred throughout the year). ABC Ltd. has authorized these expenses and filed Form T2200 accordingly. Print Dene Jane Jackson resides in Ottawa, ON, and has been employed by ABC Ltd. for a number of years as its accountant. (Click on the icon to view more information Part 1.) Click on the icon to view more information Part 2.) (Click on the icon to view more information Part 3.) Required Requirement 1. For each amount paid by ABC Ltd. that was not reported on Jane's T4 slip, determine if the amount is a taxable or non-taxable benefit. Items paid by ABC and not on T4 slip Classification Private health insurance plan premiums Not-taxable Public health insurance plan premiums Taxable Group term life insurance policy premiums Taxable Allowance for incidental expenses (5400 per month) Taxable Requirement 2. Calculate the total amount of taxable benefits for Jane in the current year. Complete the table below. (Round your answers to the nearest cent, and provide appropriate references to the ITA.) Taxable Benefits Amount ITA Reference Life Insurance Public health care Auto - reduced standby charge Auto-operating cost Reimbursement - for Jane's mother's travel Allowance - for incidental expenses Loan interest Stock options MI Total taxable benefits pursuant to ITA 6 and ITA 7 i - X More Info Part 1 Jane's T4 slip for the current year indicates the following amounts were deducted from her gross salary of $84,000. Deductions Amounts CPP (maximum for the year*) El maximum for the year*) RPP $4,500.00 Pension adjustment 9,000.00 Income Tax deducted 20,000.00 Union Dues 300.00 Charitable donations 1,200.00 * See the current year's tax rate sheet to determine the CPP and El reported on the T4 slip The following amounts are paid by ABC Ltd. and not included on Jane's current year T4 slip Paid by ABC Ltd. Amounts Private health insurance plan premiums $1,800.00 Public health insurance plan premiums 1,500.00 Group term life insurance policy premiums 400.00 Allowance for incidental expenses ($400 per month) 4,800.00 Print Done * More Info . - part 2 ABC Ltd. provided Jane with a motor vehicle for the entire year, and the company also paid for all operating costs for the vehicle, with $5,650 paid for operating costs in the current year. The vehicle was purchased by ABC Ltd. three years ago at a cost of $46,500 (incl. GST). In the current year, Jane drove 24,500 kilometres; 10,500 kilometres were personal, and 14,000 were for employment purposes. On October 1 of the current year, Jane purchased 1,400 shares of ABC Ltd. under a stock option plan. ABC Ltd. is a Canadian public corporation. The following information is provided. Stock Options Option granted on Jan. 1 of the prior year, FMV = $12 per share Option price = $12 per share Option exercised on July 1 of the current year, FMV = $18 per share * Note: On December 31, Jane continues to hold the 1,400 ABC Ltd. shares since she anticipates they will appreciate in value. In the current year, her mother travelled with her to Vancouver when Jane attended a five-day conference for accountants. ABC Ltd. reimbursed her for the full cost of $6,500, of which $2,500 (including GST) was for expenses she incurred for her mother Print Done i More Info . X part 3 On July 1 of the prior year, ABC provided Jane with an employee loan in the amount of $12,000 at the annual interest rate of 1%. The loan requires annual principal repayments of $2,200 on June 30 of each year. Jane made the first annual repayment on June 30 of the current year. Canada Revenue Agency's interest rates for the calendar quarters in the current year are as follows. Quarter Rates Quarter #1 (January 1 to March 31) 3% Quarter #2 (April 1 to June 30) 2% Quarter #3 (July 1 to Sept 30) 3% Quarter #4 (Oct 1 to Dec 31) 3% In the current year, Jane paid the following amount personally: CPA professional dues (annual) in the amount of $1,500 (paid on June 30). Employment expenses: Jane paid for supplies (used for employment purposes) in the amount of $1,400 (expenses occurred throughout the year). ABC Ltd. has authorized these expenses and filed Form T2200 accordingly. Print Dene Jane Jackson resides in Ottawa, ON, and has been employed by ABC Ltd. for a number of years as its accountant. (Click on the icon to view more information Part 1.) Click on the icon to view more information Part 2.) (Click on the icon to view more information Part 3.) Required Requirement 1. For each amount paid by ABC Ltd. that was not reported on Jane's T4 slip, determine if the amount is a taxable or non-taxable benefit. Items paid by ABC and not on T4 slip Classification Private health insurance plan premiums Not-taxable Public health insurance plan premiums Taxable Group term life insurance policy premiums Taxable Allowance for incidental expenses (5400 per month) Taxable Requirement 2. Calculate the total amount of taxable benefits for Jane in the current year. Complete the table below. (Round your answers to the nearest cent, and provide appropriate references to the ITA.) Taxable Benefits Amount ITA Reference Life Insurance Public health care Auto - reduced standby charge Auto-operating cost Reimbursement - for Jane's mother's travel Allowance - for incidental expenses Loan interest Stock options MI Total taxable benefits pursuant to ITA 6 and ITA 7