For its current taxation year ended December 31, Cho Ltd. earned net Canadian active business income (ABI) of $425,000, foreign business income of $40,000, and taxable income of $450,000, and claimed a foreign business tax credit of $6,000. Cho is associated with one other corporation. In the current year, the other corporation used $300,000 of the annual business limit. The SBD that Cho may claim in the current year is based on 19% of the least of three amounts. What are those three amounts?

Answer rating: 100% (QA)

Cho Ltd can claim the Small Business Deduction SBD based on 19 of the lowest amount among the follow... View the full answer