It is now March $1,2024.$ You, CPA, will be meeting with a new client, Andrew Yang. Andrew requested you to prepare his $2023$ personal tax return.

After a meeting with Andrew, you have obtained the following information:

$1)$ Andrew was employed in a public corporation since $2015.$ For the calendar year $2022,$ his gross employment income was $$135,000.$ The following amount was deducted:

income tax: $$43,000$

donation to local Charities: $$300$

Registered pension plan: $$3,000$

$2)$ Andrew was provided a company car at the beginning of the year. The Company paid $$40,000($including tax$)$ for the car. During the year, he drove a total of $20,000$km$,$ of which $70\%$ were for employment purposes. The employer paid all of the operating cost, which totaled $$4,300.$

$3)$ Andrew received the following from his investment:

$$1,200$ of eligible dividend from taxable Canadian$-$controlled private corporations $($which the income was subject to small business deduction$)$;

$$2,000$ of dividend from a taxable Canadian public corporation; and

$$1,800$ of foreign dividends. The $$1,800$ is the net amount after the foreign country withheld $$350$ in foreign tax.

$$4,300($net of tax $$200)$ of foreign interest

Andrew paid $$500$ as investment fee

$4)$ Andrew purchased a $$100,000$ bond on its issue date, October $1,2022.$ The bond pays interest $5\%$ compounded annually. Andrew told you that he has not reported any interest income yet since the interest will be fully paid when the bond matures on September $30,2027.$

$5)$ During $2023,$ Andrew disposed many of his personal properties. He provided you the following listing of the items that were sold:

Item

Proceed

Cost

A limited edition of an old camera

$$1,300$

$$800$

Stamp collection

$$6,500$

$$1,200$

Furniture

$$800$

$$5,300$

Clothing

$$200$

$$800$

Jewelry

$$850$

$$400$

$6)$ Andrew has $2$ rental properties. For the year $2023,$ the rental income was $$33,500.$ The rental expense $($such as maintenance, interest, etc$)$ were $$18,800.$

During $2023,$ Andrew needs to refinance the mortgage for property #$2$ which he incurred cost of $$2,000.$

He has been taking CCA deduction against his rental income. He has provided you with the following information:

Cost

UCC

$($as of Dec $31,2022)$

Rental Property #$1$

$$250,000$

$$188,000$

Rental Property #$2$

$$260,000$

$$155,000$

In December $2023,$ Andrew sold Property #$1$ for $$400,000$

$7)$ Andrew informed you that he bought $20\%$ shares of a small business corporation for $$16,000.$ However, the company filed bankruptcy in $2023$ and Andrew was not able to recover any of her investment.

$8)$ Andrew bought a condominium for $$540,000$ on September $1,2022.$ He has been living there ever since. However, he decided to sell the condominium on May $31,2023$ for $$700,000.$ He used the proceed to purchase another condominium in the same area.

Required:

Calculate Andrew$$s net income for tax purposes for the $2023$ taxation year in accordance with the aggregating formula of Section $3$ of the Income Tax Act. $(40$ marks$)$