IBM Ltd. a public company is in the process of completing its 2021 financial statements and tax return. A junior accountant has given you a list of items that he does not know how to treat for tax purposes. Assume that IBM is a HST registrant. The list includes the following seven items:

1.	Purchase price of a patent giving the company exclusive rights to manufacture a product	$140,000
2.	Cost of annual dues to a golf club for three senior salespeople to entertain existing and potential customers	9,000
3.	The union contract expired four months before the year end and bar gaining is still in process. A 3% wage increase is expected, and the company has recorded a reserve to cover the four-month period	60,000
4.	Legal fees paid for making a representation to a provincial government against a proposal to introduce a payroll tax	15,000

5-Trade in of a passenger vehicle who's UCC on the books is $8,746 under Class 10.1. on January 1, 2021. The company received $20,000 as trade in for the passenger vehicle which originally cost $31,000 plus HST. They used the funds to purchase a new passenger vehicle for $35,000 plus HST.

6-A building which was in Class 1 MB with a UCC balance of $340,000 on January 1, 2021 was sold for $293,000. The original cost of the building was $535,000 when it was purchased. It was the only building in Class 1 MB at the time of it's sale. With the funds the company purchased a new manufacturing building in September 2021 for $900,000.

7- Class 8 has a UCC balance of $16,000 on January 1, 2021. During the year items in class 8 were sold for $25,000 where the original cost of the items were $30,000. Also during the year IBM purchase additional office furniture costing $7,000 plus HST.

Required:

Describe how each of the above items will be treated for tax purposes for the 2021 taxation year. Please show all your work to get the full marks available