Taxation for Canadian Business

YBM Traders Ltd. is a Canadian-controlled private corporation located in Toronto, Ontario. For
its fiscal year ended December 31, 2019, the corporation had calculated its income for tax
purposes under Division B as follows:
Operating income (Note 1) $ 247,000
Profit on the sale of excess land (Note 2) 205,000
Royalty income (Note 3) 15,000
Retailing income 210,000
Interest on o/s accounts receivable in retailing business 14,500
Recapture of CCA (Note 4) 10,500
Advertising agency loss (53,500)
Foreign Business income in Canada (Note 8) 45,000
Rental income (Note 5) 21,500
Taxable capital gains net of losses (Note 6) (from active assets) 63,000
Interest income from five-year bonds 18,000
Dividend from Wholly owned sudsidiary (Note 9) (non-eligible) 12,000
Dividend from from taxable Canadian corporations (< 5% ownership)(eligible) 33,000
Foreign non-business income in Cdn. $ (Note 7) 15,000
Division B net income for tax purposes $ 856,000
Notes:
(1) This amount of operating income was computed correctly under Division B. The corporation
has permanent establishments in YBM and North Dakota in the United States. Its gross
revenue and salary and wages information is as follows:
Ontario North Dakota
Gross revenue $10,325,000 $3,675,000
Salaries and wages 5,375,000 993,000
(2) The land had been held for approximately three years. It had been held vacant in order to
realize a profit on its sale at the right time.
(3) The royalty income had been determined to be property income.
(4) The recapture resulted from the sale of some fixtures used in the retailing business.
(5) The rental income was derived from leasing the entire space on a five-year lease in an
unused warehouse.
(6) The net taxable capital gains resulted from the sale, on January 15, 2019, of marketable
securities purchased with short-term surplus funds in the manufacturing operation.
(7) Withholding tax on the pre-tax non business income of $15,000 was Can $4,000
(8) Foreign income tax on the pre-tax foreign busniess of $45,000 earned through an
unincorporated branch in the United States was paid in Can dollars $9,700
0975 – Taxation for Canadian Business
(9) The wholly owned subsidiary received a Dividend refund of $2,000 as a result of paying out
the dividend.
Additional information:
(a) YBM Traders Ltd. made the following selected payment during the year:
Charitable donations $12,500
(b) Four quarterly dividends (non-eligible) of $45,000 were declared at the end of each
calendar quarter of 2019 and paid within two weeks of their declaration. The last quarter
of 2019 was paid in January 2020 and a dividend of $30,000 declared in the last quarter
of 2018 was paid in January 2019.
(c) YBM Traders Ltd. had allocated $5,000 of its $500,000 business limit to other
associated corporations. Taxable capital of the associated group for large corporations
tax purposes was $10,100,000.
(d) The balance in the tax accounts on January 1, 2019 were:
Charitable donation carryforward $ 17,500
Unused business foreign tax credit 14,000
Non-capital losses from 2012 51,500
Net capital losses from 2013 14,500
Refundable dividend tax on hand 20,000
Dividend refund for 2018 18,000
Required:
(A) Compute the federal Part I tax and provincial tax at a 17% rate for YBM on federal taxable
income payable by the corporation for 2019. Show in detail the calculation of all tax
deductions in the computation, using a separate schedule for each special tax deduction.
(B) Compute the refundable tax on hand balance as at December 31, 2019, showing in detail
your calculation and compute the dividend refund for 2019.

He applied to the Chouinard Art Institute in California. He later proceeded with his examinations at the California Institute of the Arts. During his time at school, Ruscha worked at Plantin Press for around a half year. He worked in the business craftsmanship industry for some time, fundamentally doing promoting, despite the fact that he additionally did design for two or three distinct organizations.

Ed Ruscha was related as working in the Pop Art development. This clarifies sense, in light of the fact that a great deal of his motivation originated from mainstream society in Los Angelos, just as the landscape from the region when all is said in done. Through his work he added to affecting another age of creative ability, which lead to the Neo-Pop development. Ed Ruscha worked with numerous kinds of workmanship including lithographs, drawing, aquatint, and screen print, where he explored different avenues regarding various sorts of natural colors, as opposed to simply utilizing the ink from a printer.

Ed Ruscha made works that depicted distinctive importance relying upon the manner in which the watcher decided to take a gander at it. One case of this is his screen print called Standard Station. Over the highest point of the service station in the print, it peruses “STANDARD”. Standard Oil is the conspicuous course that your psyche would go in the event that you thought about Standard Oil, in any case, he forgot about the word oil, leaving it open finished for the watchers to add importance to the work. Ed Ruscha’s work didn’t abandon reaction. Other craftsman over the world have reacted to his works. A case of this would be Bruce Nauman. Bruce Nauman is an American craftsman, who bargains in medias, for example, mold, photo, drawing, neon, printmaking, and execution. Bruce Nauman’s work, which was titled, Burning Small Fires (1968), was an assortment of pictures of himself consuming Ed Ruscha’s book, Various Small Fires and Milk (1964). This was Nauman’s presentation of dissent to Ruscha’s work. Ruscha tested the thoughts of western workmanship and made something other than what’s expected.

The Pop Art development all in all, directed moving the view individuals had on the distinction of “high” workmanship and “low culture”.

(theartstory.com. Pop Art). Pop workmanship likewise conveyed with it unique expressionism, and a totally different interpretation of what is even viewed as craftsmanship. It attempted to separate the chain of command of culture. It is apparent through Ruscha’s work, that he had comparative interests towards moving cultural standards and perspectives.

My assessment of Ed Ruscha’s work is two-sided. I think that its difficult to see from his work of art any otherworldly relationship to what he has made. From my point of view, I can’t perceive how his work is celebrating to God, nor what the worth the words in a great deal of his work are including. The implications appear to be uncertain, and some even appear to be mushy and effortlessly done. Be that as it may, I do discover works of his, for example, Standard Station, and Large Trademark with Eight Spotlights, to be alluring to the eye, and they draw my consideration interestingly. I do like the style of his craft, be that as it may, I don’t have a clue whether I can unquestionably get a handle on his implications. In general, I accept he is a decent craftsman, who has a ton of ability, and an inventive eye. Despite the implications, I locate the viewpoint he takes on the world, that he appears through his craft, to be interestingHighlighted in the Smithsonian’s National Portrait Gallery, Eye to I is an assortment of representations from the 1900’s to today. One of the portaints highlighted in the assortment grabbed my eye. Molly Soda’s piece stood apart to me as a result of the undeniable pertinence to the present internet based life use, and all the more explicitly online character. Online life began as a way to associate with others and offer parts of your life however you need. In any case, that all out control given to clients on what gets posted, what channels get applied, and what hashtags are labeled, are giving individuals the specific apparatuses they have to create an all around flawless life, and structure an online character.

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