Rob's Shameless Self-Promotion Sales (RSS-PS) Inc. is a Canadian-controlled private corporation located in London, Ontario. For its fiscal year ended December 31, 2014, the corporation had correctly calculated its income for tax purposes under Division B as follows:

ITA: 123-127, 129, 186

From Canadian Source:

Consulting Income...160,000

Advertising Agency Loss... (30,000)

Rental Income from warehouse fully rented on a five year lease.... 20,000

Retailing Income ... 75,000

Interest on outstanding accounts receivable in retailing business ... 25,000

Recapture of CCA from sale of fixtures used in retailing business ... 25,000

Interest income from five-year bonds ... 75,000

Taxable Capital Gains ... 70,000

Dividends from non-connected taxable Canadian Corporations... 12,000

Total: Division B net income for tax purposes 432,000

Additional information

RSS-PS Inc. made the following selected payments during the year:

Scientific research and experimental development (current expenses)... 100,000

Charitable Donations... 14,000

Taxable Dividends ... 120,000

The balances in the tax accounts on December 31, 2013 were:

Charitable Donations from 2011... 1,000

Non- Capital losses from 2010... 56,000

Net capital Losses from 2010... 12,000

Refundable dividend tax on hand... 20,000

Dividend refund for 2013... 9,000

RSS-PS Inc. allocated $370,000 of its $500,000 business limit to other associated corporations. The only scientific research and experimental development expenditures of the associated group were made by RSS-PS Inc.

Rob has asked you to:

(A) Compute the federal Part I tax and provincial tax at a 11.5% rate on federal taxable income for the 2014 taxation year, and

(B) Compute the dividend refund for 2014 and the amount of any RDTOH to be carried forward.