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Ken Potman is the sole shareholder in Brickbase Enterprises Ltd., a Regina-based construction company. He is also a 25% partner in a retail kitchenware store, although he does not actively participate in its management. The following information relates to Ken's financial affairs for the year 2022:

1. Brickbase was organized three years ago. For its year ending May 31, 2022, the company earned a profit of $88,000. Ken originally contributed $200,000 to the corporation, using $50,000 of his own savings and funding the balance with a bank loan. In return, the corporation issued Ken $1,000 worth of common shares and $199,000 of preferred shares. In 2022, the company paid a dividend of $12,000 on the preferred shares. All of Brickbase's income is subject to the small business deduction.
2. During the year, Ken sold a warehouse property for $180,000 (land - $15,000, building - $165,000). Brickbase used the building to store construction equipment and the company paid Ken a fair rental for use of the property. The property was originally purchased at a cost of $140,000 (land - $10,000, building - $130,000). At the end of 2021 the building had an undepreciated capital cost of $110,000.

At the same time as the sale, Ken purchased a larger warehouse property (constructed after March 18, 2007), which was also rented to Brickbase. The new property cost $400,000 (land - $50,000, building - $350,000). During the year, the company paid Ken net rents of $30,000 for both properties. The new property was financed with the proceeds from the sale of the old building as well as mortgage financing.

1. The retail store partnership earned $40,000for its year ending December 31, 2022. The profit consisted of a $32,000 profit from operations and $8,000 of interest income earned on excess undistributed cash deposits.
2. On July 1 2021 Ken purchased a four-year guaranteed investment certificate for $30,000 that bears interest at 10%.The interest compounds annually but is not payable until the end of the four-year term. Ken did not include any amount of interest in his 2021 income.
3. During the year, one of the Canadian public corporations of which Ken is a shareholder issued him 100 additional shares as a stock dividend. The shares had a stated value of $40 per share. Ken placed the shares in his safety deposit box along with his other securities.
4. Ken's other cash receipts and disbursements for 2022 are shown in the table below.

Receipts:
Salary from Brickbase	$	62,000
Dividends from Canadian public corporations		6,000
Dividends from foreign public corporations (net of 10% foreign withholding tax)		9,000
Winnings from provincial lottery		2,000
Interest on a loan to his daughter		1,000
Disbursements:
Contribution to Brickbase employee pension plan		3,000
Investment counsel fees		1,000
Legal fees for registering mortgage on new warehouse		5,000
Life insurance premium on policy required as collateral for the bank loan used to purchase Brickbase shares		1,000
Interest on warehouse building mortgage		21,000
Interest paid on house mortgage (The house mortgage is $100,000,
of which $70,000 was used to acquire the house. The balance was used to purchase public corporation shares.)		10,000
Interest on bank loan (re: Brickbase shares)		15,000
Donations to local charity		4,000
Safety deposit box fees		100

Required: Determine separately Ken's income for tax purposes for 2022 from employment, business, and property.

Employment income: Salary $62,000 Registered Pension Plan (RPP) $(3,000) $59,000 Business Income $8,000 Property Income: Interest income from daughter Partnership interest income GIC Interest income Dividends - stock dividend Dividends Canadian public corp Dividends Foreign Dividends - Brickbase Enterprises Interest expense on house mortgage Life insurance Premiums Investment counsel fees Recapture on sale of warehouse Rental income (below) Property Income $0 Rental Income Interest expense on mortgage for rental property Net rental income before CCA CCA Legal fees to register mortgage Rental income

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