Klaus can deduct other types of moving expenses net

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exemption for a moving expense allowance However, Ms. Klaus can deduct other types of moving expenses. Net Income For Tax Purposes Moving Company Charges $3,800.00 Airfare For Toronto Trip (Not Deductible) Nil Meals And Lodging On Toronto Trip (Not Deductible) Nil Gas For October 31 Move to Toronto 65 Lodging In Ottawa In October 30 110 Meals On October 30 And October 31 250 Lease Cancellation Charges 935 Legal Fees On Acquisition Of Toronto Home (Not Deductible) Nil Total $5,160.00 Note 3 The interest on the demand loan is deductible and does not require adjustment. The $27,000 withdrawal would have no effect on business income. Note 4 Proceeds Of Disposition ($20)(2,000 Shares) $40,000.00 Less: Adjusted Cost Base ($20)(2,000) -40000 Selling Costs -350 -40350 Capital Gain (Loss) -350 Inclusion Rate 0.05 Taxable Capital Gain (Allowable Capital Losses) -175 Note 5 Ms. Klaus cannot deduct the $2,500 in legal fees paid towards her separation agreement. However, as her husband is not be allowed to deduct the $25,000 lump sum payment, its doe not have to be included in her income. The ($4,0000(12 Months) = $48,000 in child support will not deductible to her husband and will be excluded from her Net Income For Tax Purposes.
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Sheet1 Page 6 Note 6 Actual Chi;d Care Expense Plus Deductible Camp Fees ($7,160 + ($100 Limit)(4 Weeks) $7,560.00 Annual Limit ($10,000 For Louise + $4,000 For Martin) 14000 Two-Thirds Of Earned Income (2/3)($89,350 + $2,500 + $650 + $22,500) 76667 Note 8 Unused Deductions Room – End Of 2009 Nil Lesser Of: 2010 RRSP Dollar Limit = $22,000 18% Of 2009 Earned Income Of $61,100 = $10,998 $10,998.00 Less 2009 PA -4500 RRSP Deduction Limit $6,498.00 Retiring Allowance $30,000.00 Maximum Deductible RRSP Contribution For 2010 $36,498.00 Taxable Payable Tax on First $81,941 $15,159.00 Tax on Next $19,366 ($101,307 - $81,941) At 26 Percent 5035 Total Before Credits $20,194.00 Basic Personal Amount -10382 Amount For An Eligible Dependant – Martin -10382 Child (2)($2,101) -2101 Caregiver – Louise (Income < $14,422) -4223 CPP (Maximum) -2163 EI (Maximum) -747 Canada Employment -1051 Transfer Of Louise's Disability -7239 Medical Expenses (Note 9) -15646 Credit Base -53934 Rate 15.00% -8909 Non-Eligible Dividend Tax Credit (2/3)($1,875) -1250 Charitable Donations (15%)($200) + (29%)($5,500) - $200) -407 Political Contributions Tax Credit (Note 10) -525 Net Federal Tax -9922 CPP Overpayment ($2,163 + $500 - $2,163) -500 EI Overpayment ($747 + $390 + $747) -390 Amount Owing To The CRA $9,032.00 Note 9
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