John Stone , social insurance number 499499499, whose birthday is February 10, 1981.

John is single, no dependents at this time.

John has a small business which is called Stone Lawn Service. He started his business venture a few years ago and has continued it in Toronto. John does lawn care in the summer months, and snow removal in the winter. His business is a home based business.

John provides you with the following information for 2021 with respect to his business:

Sales Revenues $250,000

Supplies 50,000

Automobile Operating Expenses (80% business) 22,000

Bank charges 500

Office supplies 2,000

Sub contract labour 40,000

Equipment lease 15,000

Health and dental plan 1,000

Cell phone 1,500

Insurance 7,500

Meals and entertainment 1,500

With respect to the supplies, he had an opening inventory of $3,600. On December 31, 2021 he had $1,500 of supplies on hand.

John uses 20 percent of the space in his home for the business. His 2021 household expenses include the following:

All Utilities $5,300

Property Taxes 3,500

Maintenance 2,800

Insurance On Her Home 1,900

Mortgage Interest 9,500

Mortgage principle 5,500

John is a member of the Canadian Federation of Business, a professional association. His annual membership dues are $1,500.

Assets owned by business: Vehicle, class 10.1 - UCC at beginning of year $20,000

Equipment,class 8 , no UCC, new assets purchased at a cost of $12,000

During the year, John paid $4,500 in medical expenses.

During 2021, John made $2,200 of contributions to registered charities.

John received a T5 for investment income, he received the following income:

Eligible dividends $5000, taxable amount of those dividends $6900

Non eligible dividends $2000, taxable amount of those dividends $2300

Interest income$1,120

John sold the following items during the year:

Sony shares 1000 shares sold for $120 per share, his cost was $90 per share

Rogers shares 100 shares sold for $100 per share, his cost was $150 per share

Vintage corvette - original cost $30,000 sold it in 2020 for $25,000

Principle residence - sale price $500,000, original cost $250,000, selling costs $10,000

He purchased his principle residence in 2000 and sold it in 2021, and designated it as such for all years.

John has a rental propertyat 123 Happy Street, Toronto Ontario

Rental income $15,000

Expenses include:

Property taxes $2,500

Utilities $3,000

Mortgage interest $5,000

Mortgage principle $4,900

Insurance $ 500

Prepare John's personal income tax return for 2021.