Mr. Frank Abbott moved to Moose Jaw on January 1, 2017 to start a new job as an accountant with

Clean Bright Manufacturing Ltd.

Receipts:

Net Salary (See Below for Deductions) $70,000

Performance Bonus (To Be Received on Jan 5, 2018) $3,500

Worker's Compensation $2,900

Disbursements:

Payroll Deductions from Salary:

CPP $2,564

EI $836

RPP Contributions $3,200

Income Tax Withheld $23,100

Private Health Plan Premiums $400

Union Dues $700

Total Deductions at Source $30,800

CPA Annual Dues (not reimbursed by the employer) $600

Additional Information:

a) Mr. Frank Abbott received an employee loan on April 1, 2017, to assist in purchasing 1000 shares of ABC Inc on the TSX. The loan calls for repayments of $5000 each December 31st. Frank paid the loan required amount of $5000 plus the accrued interest on December 31,

2017. The details of the loan are as follows:

Amount of the Loan

$21,200

Interest Rate according to the loan agreement: 2%

Prescribed Interest rate set by CRA for all of 2017: 3%

b) Mr. Abbott was injured on the job and received Worker's Compensation for 3 weeks.

REQUIRED:

1. Determine the tax consequences of the above items

2. Show and submit any calculations

3. Record, where applicable, the above amounts on the T1 or appropriate schedule(s)