Problem 10-9 (Bust exum question: 42 minutes) (Text: Ch. 9, 10) Mr. I.M. Leaving formally separated from his wife early in 2016. Custody of his four children, aged 18, 13, 12, and 11 at the end of 2016, was given to him as pest of an agreement worked out with his wife in family court To make a fresh start, effective March 31, 2016 he resigned his position in Toronto, where he had been employed by the same employer since November 1983, and took a position in Kemute meer Ottawa. In previous years, he had always prepared his own tox return, but because of the extraordinary events of 2016, he was having some difficulty with the calculation of his income and texes payable. He has come to you for help with these calculations, having already correctly calculated his income under Subdivision a b, and c of Division B as follows: Subdivision : Selory (from both employers in 2015) $75,000 Taxable group team life insurance premium pond by both employers 550 $75,580 RPP - (both employers) (5 100) $70,450 Subdivision b Business income: Share of partnership income [drawings of $4,000) $ 8,500 Property income Net rental loss from apartment building $(4,500) Grossed-up dividends from taxable Canadian public corporations 1,250 Canada Savings Band interest 500 (2 650) Less: interest on loom to buy shares 250 (2 900) $ 5,600 Subdivision c Taxable capital gains net of allowable capital loaves Sale of chores $ 6,000 Sale of comers owned jointly with wife for past 5 years [after principal residence exemption) 5,000 Sale of painting 500 11,500 Total $87,550 Additional Information: (1) He had the following additional receipts during 2016: A lump-sum payment out of the RIPP of his former employer who had made vested contributions for the lost 10 years (including transferred directly to his RRSP $20,000 A retiring allowence for long service from his previous employer 60.000 $80,000 Problem 10-9 (Cont.)