Marvin Combs is 43 years old and is employed by a Canadian public company. His annual salary is $112,468, none of which is commissions. Because of his outstanding work during 2021, he has been awarded a $20,000 bonus. The bonus will be paid in 2025 and 2026 at the rate of $10,000 each year to help ensure he stays with the Company. As Marvin expects to remain at the Company for the rest of his working life, he accepts the delayed payment.

For 2021, his employer withheld EI premiums of $890 and CPP contributions of $3,166. The employer also withheld professional association dues of $3,400 and contributions to a registered charity of $2,500.

Also withheld were RPP contributions of $6,800. On his behalf, the employer also made a contribution to the pension plan of $4,600.

Marvin's spouse, Leslie Combs, 46 years old and is legally blind. Her net income is $8,460.

The Combs have three children. Information on these children is as follows:

Sharon is 17 years old, in good health, and has net income from part time employment of $7,625.

Suzanne is 19 years old and suffers from a physical infirmity that prevent her from working on a full time basis. She lives with Marvin and Leslie and has net income from part time employment of $7,250.

Samantha is 23 years old and attends university on a full time basis for 11 months of the year. Marvin pays the tuition fees of $10,300, along with textbook costs of $1,100. She lives with Marvin and Leslie and is in good health. She has net income of $12,800 all of which is from investments. The investments were purchased with income saved from part-time emp[oymentjduring her high school years.

Other Information:

1. Marvin is provided with an automobile by his employer. The automobile is used largely for employment purposes. Total kilometers driven in 2021 was 62,000 kilometers, with 58,000 for employment purposes and 4,000 for personal use. The automobile is leased by the employer for $456 per month which includes $43 for insurance. The automobile is available to Marvin for 10 months in 2021.

2. In 2018, Marvin was granted stock options to purchase 300 shares of his employer's common shares at a price of $72 per share. At the time the options were granted, the FMV of the shares were $70 per share. In January, 2021, when the shares are trading at $85 per share, Marvin exercises all of the options. He still owns the shares at December 31, 2021.

3. During 2021, Marvin receives several gifts from his employer:

As a reward for winning the company's Employee of the Month Award, he receives an expense paid weekend in a local hotel. The regular price for this package was $1,200.

As is the case for all of the company's employees, Marvin received a $600 gift certificate for merchandise at a local department store.

At Christmas, the company provides each employee with a basket of gourmet food. The value of this basket is $450.

4. During 2021, Marvin spent $8,400 on meals and entertainment with clients of his employer. His employer reimbursed all but $1,000 of these costs.

5. During 2021, Marvin and Leslie decide to purchase their first family home (they have rented for the last 15 years). After considerable searching, they identify the perfect property one block from their rented apartment and purchase it for $462,000. Consistent with company policy he requests and receives an interest free loan of $200,000 to assist with this purchase. The loan was received on April 1, 2021. Assume that the prescribed interest rate on employee loans is 2% throughout all of 2021.

6. During 2021, both Sharon and Samantha had surgery. Marvin paid $2,800 for emergency services after Sharon's nose suffered serious trauma during a martial arts class. He also paid $13,500 for cosmetic surgery for Samantha.These amounts are included in the following medical expenses of the family, all of which were paid by Marvin:

Marvin And Leslie $ 2,200

Sharon 3,100

Suzanne 12,300

Samantha 16,000

Required:

A. Determine Marvins minimum employment income and net income for 2021.

B. Determine Marvins minimum taxable income for 2021.

C. Based on your answer in Part B, determine Marvins federal income tax payable for 2021.