Question
Slava Datsuk is a 28 year old employee with First Delta Corp. His employment income is $110,000 in 2021. His employer deducted the required income
Slava Datsuk is a 28 year old employee with First Delta Corp. His employment income is $110,000 in 2021. His employer deducted the required income tax, EI and CPP amounts from his paycheques during the year.
Slava owns a diverse portfolio of stocks that paid non-eligible dividends in the amount of $6,000 during 2021. He also sold 1,000 shares in XYZ Inc., a publicly traded company, during 2021. These shares had an adjusted cost base of $20/share and he was able to sell them for $40/share during the year.
Slava is a divorced father of three. His divorce agreement requires that he pay his ex-wife $3,000 per month in child support and $1000 per month in spousal support. Slava made all of the payments during 2021 as required.
Slava also has a rental property, which had a net loss of $5,000 in the year.
Slava has a $12,000 allowable capital loss carryover from a number of years ago that he has not been able to use in a prior taxation year.
Required:
A. Calculate the amount to report on each line in the table below, including Slava's 2021 Net Income for Tax Purposes and Taxable Income.
Description | Amount |
Line 3a | |
Line 3b | |
Line 3c | |
Line 3d | |
Net Income for Tax Purposes | |
Division C Deductions | |
Taxable Income |
B. Calculate the following Federal Tax Credits for Slava:
Description: | Amount |
Federal Dividend Tax Credit | |
CPP Tax Credit |
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