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On January 2, 2022, Polly Ester was transferred from Vancouver to Kingston by her employer to accept a position as sales manager with CGA Limited.

On January 2, 2022, Polly Ester was transferred from Vancouver to Kingston by her employer to accept a position as sales manager with CGA Limited. She was employed there until March 31, 2022. Details of the 2022 T4 from CGA Limited were as follows: T4 information is as follows: Gross earnings $ 25,000.00 CPP contributions 1,064.25 El premiums 470.00 Income tax withheld 8,000.00 R.P.P. contributions 1,500.00 When Polly arrived in Kingston, she and her family were unable to find a house to purchase until February 1, 2022. CGA Limited provided an apartment for her and her family for the month of January at no-charge. The fair rental value of the apartment was $1,200.00 {per month). CGA Limited also reimbursed her for moving costs in the amount of $4,500. Polly was required by the terms of her employment contract to provide her own vehicle for business use. She leased a car for the three-month period at a cost of $850 per month plus HST @ 13%. This amount does not include insurance. She drove the cara total of 9,000 kilometers of which 7,200 kilometers were for business use. Polly paid the total operating costs in the amount of $950. CGA Limited paid her a vehicle allowance of $0.58 per kilometer driven for business use. On April 1, 2022, Polly left her employment with CGA Limited to accept a position as salesperson with SLC Incorporated, until December 31, 2022. Details of the 2022 T4 were as follows: T4 information from the company is as follows: Gross earnings $ 35,000.00 Commissions (included in gross earnings) 3,000.00 CPP contributions 1,559.25 El premiums 658.00 Income tax withheld 10,150.00 R.P.P. contributions 2,500.00 In recognition of her excellent performance, SLC Incorporated gave Polly an award, which consisted of a weekend trip to Toronto, valued at $1,500. This amount is not included in the gross earnings. Question #2 (continued): As a condition of her employment with SLC Incorporated, Polly was required to travel out of town for and pay the related expenses. She is also required to provide her own vehicle for business use. The company paid her a travel allowance in the amount of $200 per month and a vehicle allowance of $75.00 per month {for 9 months). The actual travel costs paid by Polly were as follows: Accommodations $ 2,000 Train fares 650 Meals, while out of town 1,000 She also paid the following additional expenses to earn commissions: Entertainment of clients (not part of out-of-town travel costs) $1,200 Advertising 1,550 Office supplies 285 Polly continued to lease the vehicle she had been using while employed by CGA Limited. She also paid the total operating costs incurred from April 1, 2022 to August 31, 2022 in the amount of $1,150.00. Polly drove the vehicle a total of 10,000 kilometers from April 1, 2022 to August 31, 2022 of which 7,500 kilometers were for business use. On August 31, 2022, she cancelled the lease contract on this vehicle and purchased her own vehicle at a cost of $39,000 (includes HST). Polly drove the vehicle a total of 6,500 kilometers from September 1, 2022 to December 31, 2022 of which 4,875 kilometers were for business use. The total operating costs paid by Polly during this period (122 days) were $920 and the interest she paid on the loan to purchase this vehicle was $1,300. Polly was also required by the terms of her employment with SLC Incorporated, to conduct business out of her home. The total house expenses for the period February 1 to December 31, 2022 were as follows: Mortgage interest $ 5,000 Property taxes 2,400 Heat and hydro 1,800 Insurance 650 Minor repairs 500 Pollys office occupies approximately 200 square feet of the total 2,000 square feet of the house. Required: Calculate Pollys NET INCOME FROM EMPLOYMENT for 2022. Present your solution in a well-organized format and include detailed calculations with your answer

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