On September 1, Maria Battelio, a Calgary resident, commenced work as an investment dealer with Top Investments
Question:
Total distance travelled from September 1 to December 31
Total kilometres driven12,500
Personal kilometres driven5,000
Maria received the following net pay in the year:
Gross salary$ 4,000
Commissions18,000
Christmas bonus300
Employment Insurance contributions(408)
Canadian Pension Plan contributions(931)
Charitable donations(280)
Income tax withheld at source(4,200)
Net pay.............................................................. $16,481
To earn commission income, Maria incurred the following:
Meals and entertainment$ 2,300
Client promotion materials 1,500
Gasoline and operating expenses1,600
Total$ 5,400
Top Investment paid for the airfare and accommodation for Maria and her spouse to attend a conference in New York. The trip cost $800 for each person attending the conference. The company also pays premiums of $400 per employee for group life insurance with coverage of $100,000. Assume a 7% prescribed rate of interest on the employee loan.
REQUIRED
Compute Maria's net income from employment. Ignore the effects of the leap year. Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may... Dealer
A dealer in the securities market is an individual or firm who stands ready and willing to buy a security for its own account (at its bid price) or sell from its own account (at its ask price). A dealer seeks to profit from the spread between the...
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Related Book For
Introduction To Federal Income Taxation In Canada
ISBN: 9781554965021
33rd Edition
Authors: Robert E. Beam, Stanley N. Laiken, James J. Barnett
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