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residence 2 12 Question 12 (5 points) Listen XYZ Inc. has a taxation year that ends on December 31. The Company crisis building This building

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residence 2 12 Question 12 (5 points) Listen XYZ Inc. has a taxation year that ends on December 31. The Company crisis building This building had a capital cost of $950,000 with 5800.000 CCA demedel, On February 12, 2020, the building was completely destroyed in a fire. The building was capital cost. As the fire completely destroyed the building on June 15, 2030, the Copy payment from its insurer for the insured amount. In mid-2021, the Company acquired a replacement building for $975,000 Required: Indicate the 2020 tax consequences that would result from the destruction of the building. Are there provisions in ITA to minimize these consequences? If so, then explain & cite the provisional determine the maximum CCA on the new building for the year ended December 31, 2021. In addition, calculate the January 1, 2022 UCC balance for the Class. 00 lali Paragraph V UA 1 B residence 2 12 Question 12 (5 points) Listen XYZ Inc. has a taxation year that ends on December 31. The Company crisis building This building had a capital cost of $950,000 with 5800.000 CCA demedel, On February 12, 2020, the building was completely destroyed in a fire. The building was capital cost. As the fire completely destroyed the building on June 15, 2030, the Copy payment from its insurer for the insured amount. In mid-2021, the Company acquired a replacement building for $975,000 Required: Indicate the 2020 tax consequences that would result from the destruction of the building. Are there provisions in ITA to minimize these consequences? If so, then explain & cite the provisional determine the maximum CCA on the new building for the year ended December 31, 2021. In addition, calculate the January 1, 2022 UCC balance for the Class. 00 lali Paragraph V UA 1 B

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