Taxpayer: Abe Green

Birthdate: Apr 9, 1980

SIN #: 111 111 118

Address: 3 Tiffin St, Toronto ON M4M 3X9

Tel: (416) 728-1968

Spouse: Sue Green

SIN # 222 222 226

Birthdate Dec 12, 1982

1. Children: Josh, born April 8, 2010, SIN# 527 000 228 and Evan, born April 16, 2008, SIN# 527 000 947

1. Seneca Polytechnic employs Abe - T4 attached.

1. Sue is employed by RVH - T4 attached.

1. On April 3, 2023, Abe received a $500,000 inheritance when his father died. This money is invested and results in annual investment income - T5's attached.

1. Abe is a Chartered Accountant who pays the CPA Association annual dues of $1,500.

1. Abe is required to travel for his work. He is required by his employer, Seneca, to pay his expenses and has a signed T2200 from his employer. He does not receive any allowances from his employer and is not eligible for any GST/HST rebate. Enter the data on the HST Taxable column, on the Workchart and on the T777A form, which you get from the Jacket (see Other Employee Expenses - line 22900). He is not a commissioned salesperson. Hints: What is the impact of this on his claim? Complete bottom of Form T777A

1. Expenses he has incurred relating to his job are as follows:

Auto expenses for the year

Gas $5,900.

Insurance $1,500

Maintenance $2,320

Parking for work $200

Interest on car loan $ 4,900

Abe drove his car a total of 30,000 KM in 2023, 20,000 of which were travel for business. The car is a loaded 2023 Jeep Grand Cherokee. He bought it new on Feb 8, 2023, for a cost of $79,500, including an HST of 9,146. This class 10.1 asset has a maximum of 36,000 plus an HST of 4,680 for a total of $40,680. (TRY to enter the actual car cost and see what happens!)

Other expenses

Hotel accommodations $2,500

Meals while traveling $1,600

Cell phone - long distance $125

1. Sue uses an unused bedroom of her house (a Designated Room) as an office and must do so by the terms of her employment with RVH. Her office occupies 190 sq feet of her 2300 sq ft house. Sue is not a salesperson. Her home-related expenses for 2023 were as follows:

Mortgage payments $7,200 ($1100 interest & $6100 principal)

Maintenance $1,600

Gas (heat) $2,900

Electricity $3,400

Insurance $ 500

Property Tax $2,600

1. Abe must pay taxes in installments due to his investment income. In 2023, he made quarterly installment payments of $1,300

1. Abe made the following charitable donations during the year for which he has receipts: Canadian Cancer Society $400, Heart & Stroke Foundation $250

1. Abe attended Seneca Polytechnic in 2023 as a part-time student. He lost the slip but told you the tuition was $3,200 and 8 months part-time. He indicated that he would get the slip for filing.

1. During 2023, the family had the following medical expenses:

Jan 3 Dr. Sue - Dentist $700 for Evan

Mar 9 Glasses for You - $400 for Sue

Dec 31 Shoppers Drug - $950 for Abe

Dec 31 Dr. Singh Therapist - $2,900 for Josh

REQUIRED:

1. Change the last name for Abe and Sue to your last name.
2. Using Cantax software, prepare a coupled 2023 tax return for the husband and wife. Do not be concerned with any GST/HST issues.

3. Store Cantax File with the following name format:

Assgn1_Last name_First name initial. An example for me is:Assgn1_Pal_E

SUBMIT in PDF format - These files MUST be submitted on Blackboard - not by email.

1. The full T1 for Abe and the full T1 for Sue. To do so -

1. Choose Print Return.
2. Then, for print order, select Regular.
3. For Abe's return, clear check for Sue. Then print.
4. For Sue's return, clear check for Abe. Then print.
5. If it asks for a name more than once, use the same name.

2. The actual Cantax T1 file - VERY IMPORTANT!

REMEMBER TO CHECK DIAGNOSTICS!