Work Alberta branch had been inco PROBLEM TWO located in Nova Scotia, earned $160,000 of active business income. In addition, the During the current taxation year, KT Ltd., a Canadian-controlled private corporation company made the following capital transactions: Gain on sale of shares of a public corporation Loss on shares of a public corporation $48,000 (20,000) At the end of the previous taxation year, the following unused losses were available for carry-forward: Net capital losses Non-capital losses Required: For the current taxation year of KT Ltd., calculate the following: (a) Net income for income tax purposes (b) Taxable income (c) Total federal income tax $29,000 42,000
Work Alberta branch had been inco PROBLEM TWO located in Nova Scotia, earned $160,000 of active business income. In addition, the During the current taxation year, KT Ltd., a Canadian-controlled private corporation company made the following capital transactions: Gain on sale of shares of a public corporation Loss on shares of a public corporation $48,000 (20,000) At the end of the previous taxation year, the following unused losses were available for carry-forward: Net capital losses Non-capital losses Required: For the current taxation year of KT Ltd., calculate the following: (a) Net income for income tax purposes (b) Taxable income (c) Total federal income tax $29,000 42,000
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
N3.
Transcribed Image Text:Work
Alberta branch had been inco
PROBLEM TWO
located in Nova Scotia, earned $160,000 of active business income. In addition, the
During the current taxation year, KT Ltd., a Canadian-controlled private corporation
company made the following capital transactions:
Gain on sale of shares of a public corporation
Loss on shares of a public corporation
$48,000
(20,000)
At the end of the previous taxation year, the following unused losses were available
for carry-forward:
Net capital losses
Non-capital losses
Required:
For the current taxation year of KT Ltd., calculate the following:
(a) Net income for income tax purposes
(b) Taxable income
(c) Total federal income tax
$29,000
42,000
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