Q1 - Charitable Donations Tax Credit (6 points)
Saba Aaron has a net income of $ 300,000 and taxable income of $250,000 in 2023. During the
year, she makes eligible charitable donations of $120,000. Determine Ms. Saba's 2023 charitable
donations tax credit. (NB. The threshold for 2023 is $235,675)
Q2 - Taxable Benefits (Employer-owned Automobile) - (7 points)
Ms. Rekia Shamir is provided with an automobile by her employer. The employer acquired the
automobile in 2022 for $38000, plus $2000 tax. During 2023, Ms. Shamir drives the automobile a
total of 44,000 kilometers. Business use accounted for 26000 kilometers, and 18000 were for
personal use. The automobile is available to Ms. Shamir throughout the entire year. Calculate Ms.
Shamir's minimum 2023 taxable automobile employment benefit.
Q3-Medical Expenses (7 points)
Ms. Hansika and her spouse, Mr. Kumar, have 2023 medical expenses totaling $4000 and $2000
respectively. Regarding their income, Ms. Hansika has 2023 net income of $100,000, and
Kumar's net income is $2000. They have two children, Anna is 11, has 2023 medical expenses
of $3,500, and no income. Bedir is 22, has 2023 medical expenses of $7,000, and net income of
$9,500. Ms. Hansika pays all of the medical expenses. What is the medical expense tax credit for
2023. (NB. The threshold for 2023 is $2635)
