The following information is available for the 2019 year end for Blend Corp

Canadian source investment income $125000

Active business income (no associate companies) $225000

Private company dividend received (not part of Canadian source investment income) $43000

Non eligible dividend refund for 2018 $25000

Taxable non eligible dividend paid in 2019 $55000

Blend corp is a Canadian controlled private corporation with 31 December year end. For 2019, Blend corp has opening balance in its non eligible refundable dividend tax on hand account of $37500. Blend corp has no eligible refundable dividend tax on hand.

Blend corp has aggregated investment income of less than $50000 in the preceding year and the taxable capital employed in Canada in preceding year was less than $10000000.

Required:

1. Calculate net income for tax purposes and taxable income for Blend Corp for the year ended December 31, 2019
2. Calculate Part I tax payable for blend corp for 2019
3. Determine the balance of the non eligible refundable dividend tax on hand for blend corp for the year ended December 31, 2019.
4. Determine the non eligible dividend refund for blend corp for 2019
5. Calculate federal taxes payable for Blend corp for 2019

Answer rating: 100% (QA)

a Net Income Income from Investment 125000 50000 175000 Active Business income 225000 Private ... View the full answer