Cindy works for Sky Manufacturers Ltd., which is a private corporation. In 2020 she was offered...
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Cindy works for Sky Manufacturers Ltd., which is a private corporation. In 2020 she was offered an option to purchase shares at $15 per share from her employer. The fair market value on that day was $17 per share. Cindy exercised her option in 2021 and purchased 500 shares. The fair market value at that time was $21 per share. Do not use commas or dollar signs. Provide the amount to be included in Cindy's income for 2020. A/ Provide the amount to be included in Cindy's income for 2021. What is the amount to be included in Cindy's net income for tax purposes if she sells the 500 shares for $26 each in 2024. A/ Will Cindy be allowed to deduct the Division C security option deduction in 2024? Answer either yes or no in the space provided. Cindy works for Sky Manufacturers Ltd., which is a private corporation. In 2020 she was offered an option to purchase shares at $15 per share from her employer. The fair market value on that day was $17 per share. Cindy exercised her option in 2021 and purchased 500 shares. The fair market value at that time was $21 per share. Do not use commas or dollar signs. Provide the amount to be included in Cindy's income for 2020. A/ Provide the amount to be included in Cindy's income for 2021. What is the amount to be included in Cindy's net income for tax purposes if she sells the 500 shares for $26 each in 2024. A/ Will Cindy be allowed to deduct the Division C security option deduction in 2024? Answer either yes or no in the space provided.
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Amount to be Included in Cindys Income for 2020 In 2020 Cindy was offered the option to purchase shares at a discount to their fair market value The t... View the full answer
Related Book For
Canadian Income Taxation Planning And Decision Making
ISBN: 9781259094330
17th Edition 2014-2015 Version
Authors: Joan Kitunen, William Buckwold
Posted Date:
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