Net income for tax. Taxable income & Tax Payable (31 marks) CPA employed with a Canadian controlled private corporation (CCPC). She lives with -law partner Julian. The following information pertains to her 2019 Income 85,000 Note 1. Linda net pay is shown below: Gross Salary Less amounts withheld: CPA Professional dues Income taxes Canada Pension Plan Employment Insurance Net Salary (1,410) (17,000) (2,749) (860) 62,981 103 104 105 106 Note 2. Linda's employer provides her with a vehicle which is available for the whole year. Her employer pays the operating costs of $3,100. 107 108 109 Cost of the vehicle Total Kilometers driven Total Kilometers drive for employment 40,000 26,000 15,000 Note 3. Linda participates in CCPC's stock option plan. In May of 2001, she received options to purchase up to 1,000 shares at S10 per share. The fair market value on the date the options granted was $9 per share. She exercised the options on June 17, 2014 when the fair market value was $14 per share. On September 27, 2019 she sold these shares for $23 per share, Note 4. She purchased a $190,000, 4%, term deposit on April 1, 2018. This four-year term deposit will pay Total kilometers drive for employment 15,000 Note Linde participates in CCP's stock option plan. In May of 2001, she received options to purch 1.000 shares at SIO per share. The fair market value on the date the options granted was 59 per shares exercised the options on June 17, 2014 when the fair market value was 514 per share, On September 27, 2015 she sold these shares for 523 per share Note 4. She purchased a $190,000, 4%, term deposit on April 1, 2018. This four-year term deposit will pay interest upon maturity. Note 5. Linda moves from Alberta to Ontario during 2019 with the same employer. Her income after the move is $18,000. She previously rented in Alberta and will continue to rent in Ontario. She wants to use the simplified method for her moving expenses. The mileage rate for Ontario is 50.52/km and the Alberta is $0.47/km. The following are the expenses she incurs: 115 116 Moving company $ 4,100 Gas (3,000 km) 450 Meals (3 days) 120 Note 6. Linda recently received a small inheritance from her great Aunt. With the inheritance she puts $12,000 into her TFSA. Note 7. Linda sold shares in EastJet Co. She received proceeds of $32,400 for the 400 shares she sold. Shed purchased the shares for $19.80/sh. in 2016. Prior to selling these shares she received $1,200 in-cligible dividends 119 Lind e ntly received a small inheritance from her great Ant with the inheritance into her TESA Ne Linde sold shares in Easter Co. She received proceeds of 532.400 for the 400 share have the shares for $19.80/sh. In 2016. Prior to selling these shares the received 51,200 inch dividends. Note 8. A review of Linda 2018 TI shows a net-capital losses carryforward from 2011 of $27.000 Reguired: For the 2019 taxation year, calculate Linda's net income for tax purposes, taxable income, and tax payable Net income for tax. Taxable income & Tax Payable (31 marks) CPA employed with a Canadian controlled private corporation (CCPC). She lives with -law partner Julian. The following information pertains to her 2019 Income 85,000 Note 1. Linda net pay is shown below: Gross Salary Less amounts withheld: CPA Professional dues Income taxes Canada Pension Plan Employment Insurance Net Salary (1,410) (17,000) (2,749) (860) 62,981 103 104 105 106 Note 2. Linda's employer provides her with a vehicle which is available for the whole year. Her employer pays the operating costs of $3,100. 107 108 109 Cost of the vehicle Total Kilometers driven Total Kilometers drive for employment 40,000 26,000 15,000 Note 3. Linda participates in CCPC's stock option plan. In May of 2001, she received options to purchase up to 1,000 shares at S10 per share. The fair market value on the date the options granted was $9 per share. She exercised the options on June 17, 2014 when the fair market value was $14 per share. On September 27, 2019 she sold these shares for $23 per share, Note 4. She purchased a $190,000, 4%, term deposit on April 1, 2018. This four-year term deposit will pay Total kilometers drive for employment 15,000 Note Linde participates in CCP's stock option plan. In May of 2001, she received options to purch 1.000 shares at SIO per share. The fair market value on the date the options granted was 59 per shares exercised the options on June 17, 2014 when the fair market value was 514 per share, On September 27, 2015 she sold these shares for 523 per share Note 4. She purchased a $190,000, 4%, term deposit on April 1, 2018. This four-year term deposit will pay interest upon maturity. Note 5. Linda moves from Alberta to Ontario during 2019 with the same employer. Her income after the move is $18,000. She previously rented in Alberta and will continue to rent in Ontario. She wants to use the simplified method for her moving expenses. The mileage rate for Ontario is 50.52/km and the Alberta is $0.47/km. The following are the expenses she incurs: 115 116 Moving company $ 4,100 Gas (3,000 km) 450 Meals (3 days) 120 Note 6. Linda recently received a small inheritance from her great Aunt. With the inheritance she puts $12,000 into her TFSA. Note 7. Linda sold shares in EastJet Co. She received proceeds of $32,400 for the 400 shares she sold. Shed purchased the shares for $19.80/sh. in 2016. Prior to selling these shares she received $1,200 in-cligible dividends 119 Lind e ntly received a small inheritance from her great Ant with the inheritance into her TESA Ne Linde sold shares in Easter Co. She received proceeds of 532.400 for the 400 share have the shares for $19.80/sh. In 2016. Prior to selling these shares the received 51,200 inch dividends. Note 8. A review of Linda 2018 TI shows a net-capital losses carryforward from 2011 of $27.000 Reguired: For the 2019 taxation year, calculate Linda's net income for tax purposes, taxable income, and tax payable