Olin Packett is a CGA-CPA and is employed by a Canadian private corporation. For 2020,...
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Accounting
Olin Packett is a CGA-CPA and is employed by a Canadian private corporation. For 2020, his gross salary was $75,000 and the following amounts were withheld from his gross salary:
Federal Income Tax $25,000
Employment Insurance Premiums 856
Canada Pension Plan Contributions 2,732
Registered Pension Plan Contributions 5,000
Charitable contributions (Centraide) 1,000
For 2020 Olin also had the following taxable benefits added to his T4:
Automobile Benefit $17,900
Housing Benefit $36,000
Finally, for 2020 Olin also paid for the following revenues and expenses which were not reimbursed by his employer:
Revenues: Taxable Capital Gain on sale of shares $50,000
Expenses: Tuition fees for a business management course ( $2,500)
Professional dues paid to CPA association ( $1,600)
Premiums paid on life insurance policy ( $1,720)
Spousal support paid during the year ($24,000)
Which of the following answers corresponds to Olin's Net Employment Income for the year 2020?
$109,492
None of the choices shown.
$127,300
$87,712
$118,900
$75,000
$117,300
$167,300
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