On July 1 of the prior year, Fields provided Jala with an employee loan in the amount of $14,000 at the annual interest rate of 1%. The loan requires annual principal repayments of $1,800 on June 30 of each year. Jala made the first annual repayment on June 30 of the current year. Canada Revenue Agency's interest rates for the calendar quarters in the current year are as follows. Quarter Rates Quarter #1 (January 1 to March 31) 3% Quarter #2 (April 1 to June 30) 2% Quarter #3 (July 1 to September 30) 3% Quarter #4 (October 1 to December 31) 3% In the current year, Jala paid the following amount personally: CPA professional dues (annual) in the amount of $1,200 (paid on June 30). Employment expenses: Jala paid for supplies (used for employment purposes) in the amount of $1,350 (expenses occurred throughout the year). Fields Ltd. has authorized these expenses and filed Form T2200 accordingly. Required: Calculate Jala's net employment income for the current year in accordance with sections 5 to 8 of the Income Tax Act. Round your calculations to the nearest dollar and provide appropriate references to the ITA or rationale. Complete the table below with the salary and deductions amounts, and calculate the net employment income. (Round your calculations to the nearest cent, and provide appropriate references to the ITA. Use parentheses or a minus sign to enter a net loss.) Amount ITA Section Reference or rationale Income / Benefit Salary 1 Total benefits - as calculated in Part 2 Employment deductions Amount ITA Section Reference or rationale 1 2 3 4 Total deductions Net employment income $ On July 1 of the prior year, Fields provided Jala with an employee loan in the amount of $14,000 at the annual interest rate of 1%. The loan requires annual principal repayments of $1,800 on June 30 of each year. Jala made the first annual repayment on June 30 of the current year. Canada Revenue Agency's interest rates for the calendar quarters in the current year are as follows. Quarter Rates Quarter #1 (January 1 to March 31) 3% Quarter #2 (April 1 to June 30) 2% Quarter #3 (July 1 to September 30) 3% Quarter #4 (October 1 to December 31) 3% In the current year, Jala paid the following amount personally: CPA professional dues (annual) in the amount of $1,200 (paid on June 30). Employment expenses: Jala paid for supplies (used for employment purposes) in the amount of $1,350 (expenses occurred throughout the year). Fields Ltd. has authorized these expenses and filed Form T2200 accordingly. Required: Calculate Jala's net employment income for the current year in accordance with sections 5 to 8 of the Income Tax Act. Round your calculations to the nearest dollar and provide appropriate references to the ITA or rationale. Complete the table below with the salary and deductions amounts, and calculate the net employment income. (Round your calculations to the nearest cent, and provide appropriate references to the ITA. Use parentheses or a minus sign to enter a net loss.) Amount ITA Section Reference or rationale Income / Benefit Salary 1 Total benefits - as calculated in Part 2 Employment deductions Amount ITA Section Reference or rationale 1 2 3 4 Total deductions Net employment income $
