ly, 2023, In 2023 be resreceived a base salary ofJohn secured employment as a commissioned salesman in July, 2023. In 2023, he$60,000, and $5,000 of commissions. A further $6,000 of commissions earned in December 2023 was paid tohim in January, 2024. John worked away from the office negotiating sales contracts, and he is required to payhis own automobile and promotional expenses. His employer has signed a T2200 certifying that requirement,and certifying that no reimbursements are paid for any expenses John incurs to earn commissions. Johnincurred the following expenses from July through December 2023:Meals and entertainment for potential customersDriving expenses (90% of driving was for employment purposes):FuelInsuranceRepairsAutomobile leasing expenses ($500 a month)$14,0004,0007502,2503,000What is the maximum deduction John may claim for employment expenses in 2023?$5,000.O $9,000.O $11,000.O $16,000.

Computation of deduction can be claimed by john :8(1)(f)8(1)(h1)50% of meals and entertainment…

Answered: was paid to uired to pay equirement,

Business

Accounting

was paid to uired to pay equirement,

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

ly, 2023, In 2023 be res
received a base salary of
John secured employment as a commissioned salesman in July, 2023. In 2023, he
$60,000, and $5,000 of commissions. A further $6,000 of commissions earned in December 2023 was paid to
him in January, 2024. John worked away from the office negotiating sales contracts, and he is required to pay
his own automobile and promotional expenses. His employer has signed a T2200 certifying that requirement,
and certifying that no reimbursements are paid for any expenses John incurs to earn commissions. John
incurred the following expenses from July through December 2023:
Meals and entertainment for potential customers
Driving expenses (90% of driving was for employment purposes):
Fuel
Insurance
Repairs
Automobile leasing expenses ($500 a month)
$14,000
4,000
750
2,250
3,000
What is the maximum deduction John may claim for employment expenses in 2023?
$5,000.
O $9,000.
O $11,000.
O $16,000.

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