1) During the current year, R received a salary of $120,000. She also earned commissions of $9,000 of which $3,000 was received in the current year. The remaining commissions were paid in January of the following year. What is R’s employment income for the current year? 

2) K receives certain employment benefits in addition to a salary. During the current year, her employer paid for the following benefits: Premium of $400 for group sickness and accident insurance coverage, Annual dues of $800 for fitness club membership for personal use, Psychologist fee of $1,200 for mental health counseling for K’s son, and Premium of $600 for a private health services plan. What amount, with respect to the benefits, is included in K’s employment income for tax purposes?

Answer rating: 100% (QA)

1 In most cases the Canada Revenue Agency CRA requires small business owners to report their income ... View the full answer