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Unformatted text preview: He also paid $750 of professional fees. Bill has been told that he can deduct certain expenses related to his employment because he is partly paid on commissions. He has a relatively new car that has a $300 per month lease. He expects that he will drive the car for 20,000 kilometers in 2005 or which 5,000 kilometers relate to business. He expects to pay $1,000 in gas bills and $1,000 in repair and maintenance bills in 2005. He expects to spend $5,000 on food & beverage and $3,000 for entertainment, all which relate to work. Finally he expects to contribute $1,000 in chartable donations in 2005 (tax credit is approximately 25%). REQUIRED: Calculate in the following order: 1. Allowable motor vehicle expense. 2. Employment expenses 3. Total income 4. Total deductions 5. Taxable income 6. Taxes owing or tax refund...
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This note was uploaded on 11/13/2011 for the course CIVE 2*** taught by Professor - during the Spring '11 term at Carleton CA.
- Spring '11