Question $4(26$ marks$)$

Ms$.$ Flynn comes to you for advice in January $2025.$ Last year, $2024$ was a year of considerable

change for her. She lost her job in Kingston in March $2024,$ as a result of a reorganization of the

company's business after a merger with a competitor. She found another job in Ottawa $($an

improvement$),$ but it required her to move there. Her divorce from her former husband became

final during $2023.$ Ms$.$ Flynn$,$ is a single parent of a nine$-$year$-$old daughter.

Other information on receipts and benefits:

Salary earned in $2024($$$40,000$ in Kingston, $$88,000$ in Ottawa$)$ $$128,000$

Interest on Canada Savings Bonds $1,725$

Spousal support received pursuant to divorce agreement $($$$600$ per

month for her support and $$500$ per month for the support of her

daughter, age $9)13,200$

Moving allowance $5,500$

Disbursements and withholdings:

Employment Insurance premium withheld $1,049$

Canada Pension Plan contributions withheld $($this includes $$650$ of

enhanced CPP and $$188$ of additional CPP$)4,056$

Union dues $540$

Net rental loss $($for tax purposes$)$ on investment property $(4,800)$

Registered retirement savings plan contributions made in $202418,000$

Registered education savings plan payments $2024($$$60$ per month$)720$

Tuition fees for $4$ months part$-$time at a local University $4,215$

Payment on cancellation of lease for Kingston apartment $575$

Security deposit on apartment in Ottawa $500$

Gasoline and direct car expenses incurred in move to Ottawa $(200$

km$)50$

Trailer rental for move to Ottawa $($including one$-$way drop$-$off fee of

$$75)190$

Cost of shipping remainder of household effects $($including packing

and unpacking fees of $$1,500)2,600$

Cost of hotel $($$$155)$ and meals $($$$75)$ in Ottawa while awaiting delivery

and unpacking of household effects $($one day$)230$

Payment to babysitter for care after school $(38$ weeks @ $$150$ per

week$)$ and during school holidays $(8$ weeks @ $$500$ per week$)9,700$

Summer camp $(4$ weeks @ $$300$ per week$)$ $$1,200$

Required:

Calculate:

$($A$)$ The minimum income under Division B for Ms$.$ Flynn in $2024$;

$($B$)$ Taxable income for $2024$ and federal taxes payable for $2024.$

Provide an explanation for all items omitted and show all calculations whether or not necessary

to the final answer.