Question
The following information relates to the operation of Notem Inc . for the taxation year ended December 31, 2021 (all amounts are based on the
The following information relates to the operation of Notem Inc. for the taxation year ended December 31, 2021 (all amounts are based on the ITA and as a result, no reconciliation is required):
Business Loss $141,800
Dividends from taxable Canadian corporation 33,500
Taxable capital gains 9,600
Allowable capital loss 4,425
Charitable donations 5,400
At the beginning of the taxation year, the company had a carry forward of unused charitable donations of $1350from the previous year and a net capital loss carryforward of $10,500 from 2019. It is the policy of the company to first claim the maximum net capital loss balances prior to using any other type of carry overbalance.
Required
Calculate the corporation's minimum net income for Tax purposes and Taxable Income for it's 2021 taxation Year. Indicate any balances available Carry forward to subsequent years.
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