1. Using section 3 Ordering, determine the taxpayer's net income and taxable income for the year 2015, 2016. Reduce the taxpayer's taxable income to as low a figure as possible. (Show all calculations)2. At the end of each year, calculate the balance in each loss pool. (Show all calculations)SK, Canada

The following information is provided to you for Mr. Howell: 2015 Mr. Howell was employed with Sociable Golf Ltd during 2015 and earned the following: Gross Salary $83,902 Deductions: Private Health Insurance Premiums $200 El Withheld at Source from Salary 836 CPP Withheld at Source from Salary 2,564 Income Tax Withheld at Source from Salary 16,780 Employee's portion of contributions to RPP 4,195 Employee Union Dues 839 Mr. Howell started an new business in 2015 called Castaway Fishing and he incurred the following: Net Business Income (Loss) ($2,081) Mr. Howell had many investments during the year and received the following: Cash Dividend Income (Eligible) 1,550 Capital Gain on Public Shares 1,171 Capital Loss on Public Shares ($2,518) The following are the beginning balances for loss pools: Net Capital Loss (from 2012) 2,576 Non-Capital Loss (from 2010) 17,993 2016 Mr. Howell continued to work for Sociable Golf Ltd in 2016: Net Employment Income 6,596 Mr. and Mrs. Howell decided to divorce in 2016 and as a result of a court order Mr. Howell received: Child Support Received from Former Spouse 5,419 Spousal Support Received from Former Spouse 5,605 Mr. Howell decided to return to his roots and started a part-time farming operation (Sec 31): 2016 Net Farm Income 2,335 His Business Castaway Fishing finished its second year of business with the following: Net Business Income (Loss) ($19,118) Mr. Howell also had the following: RRSP Withdrawal 2,939 Capital Gains on Public Shares 2,569 Capital Loss on Qualified Small Business Shares ($2,586)