Answered step by step
Verified Expert Solution
Question
1 Approved Answer
G is employed by a Canadian-controlled private corporation. In year 1,G was granted a stock option to acquire 1,000 shares from the treasury of his
G is employed by a Canadian-controlled private corporation. In year 1,G was granted a stock option to acquire 1,000 shares from the treasury of his employer's corporation for $8 a share. At the time of receiving the option, the shares were valued at $10 per share. In year 3,G exercised his option and purchased 1,000 shares for $8,000. At the purchase date in year 3 , the shares were valued at $15 per share. In year 5,G sold 1,000 shares for $20 per share. What amount is included in G's employment income for tax purposes in year 3 ? G is employed by a Canadian-controlled private corporation. In year 1,G was granted a stock option to acquire 2,000 shares from the treasury of his employer's corporation for $9 a share. At the time of receiving the option, the shares were valued at $11 per share. In year 3,G exercised his option and purchased 2,000 shares for $18,000. At the purchase date in year 3 , the shares were valued at $14 per share. In year 6, G sold 2,000 shares for $19 per share. What amount is included in G's employment income for tax purposes in year 6? K is required to use her own automobile for employment purposes. She incurred the following expenses in the current year: Gasoline $2,200, Insurance $1,300, Repairs $700, Parking for employment purposes $250, Interest on car loan $3,900 for 12 months, and Capital cost allowance $5,000. K drove the car 23,000km of which 13,000km were for employment purposes. What is the maximum amount that K is permitted to deduct from employment income in the current year? Note: Do not place a minus sign in front of the amount
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started