Question
ncome Tax Calculation for the financial year 2022 Particulars Tax Rates Taxable Income Tax Sample Income $250,000 Federal Tax @15% for income $14,398 - $50,197
| ncome Tax Calculation for the financial year 2022 | |||
| Particulars | Tax Rates | Taxable Income | Tax |
| Sample Income | $250,000 | ||
| Federal Tax | @15% for income $14,398 - $50,197 | ($50,197 -14,398) X 15% | $5,369.85 |
| @20.5% for income $50,197 - $100,392 | ($100,392 - $50,197) X 20.5% | $10,289.98 | |
| @26% for income $100,392 - $155,625 | ($155,625 - $100,392) X 26% | $14,360.58 | |
| @29% for income $155,625 - $221,708 | ($221,708 - $155,625) X 29% | $19,164.07 | |
| @33% for income $221,708 or more | ($250,000 - $221,708) X 33% | $9,336.36 | |
| $58,520.84 | |||
| Provincial Tax (Alberta) | @10% for income $0 - $131,220 | $131,220 X 10% | $13,122.00 |
| @12% for income $131,220 $157,464 | ($157,464 - $131,220) X 12% | $3,149.28 | |
| @13% for income $157,464 $209,952 | ($209,952 - $157,464) X 13% | $6,823.44 | |
| @14% for income $209,952 $314,928 | ($250,000 - $209,952) X 14% | $5,606.72 | |
| @15% for income $314,928 or more | |||
| $28,701.44 | |||
| Total Income Tax | $87,222.28 | ||
| Basic Personal Benefit for 2022 | @0% for income $0 - $14,398 | ||
Using the above example calculate the question below:
Calculate Taxable Income and Income Tax on the Taxable Income using the methodology provided in Taxable Income Calculation
| Net Employment Income | $113,699.00 |
| Allowable Capital Losses | -$4,395.00 |
| Net Business Profit | $47,692.00 |
| Capital Gains | $8,130.00 |
| Contribution to RRSP | -$5,443.00 |
| Loss in Rental Income | -$2,245.50 |
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started