Show Time Remaining You may use the attached Excel file to answer the following questions. Your client, Tex A. Shun, has provided you with the following additional information for 2020. a. Tex gave $80,000 to his wife, Vox, which she then used to buy shares of an unrelated Canadian-controlled private corporation During the year, Vox received a $9.000 cash dividend on the shares. 6. He purchased, at face value, a $5,000 5-year newly-issued investment certificate on July 1 (annual interest is 5%; all interest payable at maturity) On October 15, he sold bonds on the open market. These bonds have a $20,000 tace value and pay interest on that amount at 8%, with semi-annual payments on June 15 and December 15. When he sold on October 15, he received face value plus accrued interest d. He sold 1,000 shares of LOL Ltd. to his 22-year-old daughter, Eval.ou for total proceeds of $6.000. He had bought these shares on the stock exchange for $2.50 cach they are currently trading at $55 each Evalou sold them immediately to help pay for her education; she received fair market value proceeds of $30,000 in an arm's length sale. Required: 1. What is the amount that Tex will include in his 2020 net income for tax purposes as a result of the above transactions? (4 marks) 2. Referring to Item d above what is the amount that Eva Lou will include in her 2020 not income for tax purposes as a result of her disposition of the LOL shares she acquired from Tex, assuming also that, during the brief period in which she held them, she received an eligible cash dividend of $300? (2 marks) () Regarding item d above where Tex sold LOL shares to his daughter, assume instead that Tex had sold them for $6,000 to his spouse Voxwithout making any election? Vex then sells for FMV of $30,000 to an unrelated purchaser. Again, assume that while Vex holds them, she receives an eligible cash dividend of $300. What amount that Tex will include as a result? (3 marks) Show Time Remaining You may use the attached Excel file to answer the following questions. Your client, Tex A. Shun, has provided you with the following additional information for 2020. a. Tex gave $80,000 to his wife, Vox, which she then used to buy shares of an unrelated Canadian-controlled private corporation During the year, Vox received a $9.000 cash dividend on the shares. 6. He purchased, at face value, a $5,000 5-year newly-issued investment certificate on July 1 (annual interest is 5%; all interest payable at maturity) On October 15, he sold bonds on the open market. These bonds have a $20,000 tace value and pay interest on that amount at 8%, with semi-annual payments on June 15 and December 15. When he sold on October 15, he received face value plus accrued interest d. He sold 1,000 shares of LOL Ltd. to his 22-year-old daughter, Eval.ou for total proceeds of $6.000. He had bought these shares on the stock exchange for $2.50 cach they are currently trading at $55 each Evalou sold them immediately to help pay for her education; she received fair market value proceeds of $30,000 in an arm's length sale. Required: 1. What is the amount that Tex will include in his 2020 net income for tax purposes as a result of the above transactions? (4 marks) 2. Referring to Item d above what is the amount that Eva Lou will include in her 2020 not income for tax purposes as a result of her disposition of the LOL shares she acquired from Tex, assuming also that, during the brief period in which she held them, she received an eligible cash dividend of $300? (2 marks) () Regarding item d above where Tex sold LOL shares to his daughter, assume instead that Tex had sold them for $6,000 to his spouse Voxwithout making any election? Vex then sells for FMV of $30,000 to an unrelated purchaser. Again, assume that while Vex holds them, she receives an eligible cash dividend of $300. What amount that Tex will include as a result
