Ask Question, Ask an Expert


Ask Accounting Basics Expert

Insal Ltd. Is a Canadian controlled private corporation. It has a decemeber 31 year end. The following information relates to its 2013 taxation year.
1) Insal ltd paid taxable dividends of $18,250 during the year.
2) During 2013, they had at taxable income of $123,400. Tax payable for the year was correctly find outd to be $23960. These totals do not include any foreign source income and no net capital losses were deducted during the year.
3) Insal ltd. Owns 45% of the voting shares of Dorne INC., another CCPC with a December 31 year end. During 2013, Dorne INC paid taxable dividends of $25,200. As a consequence of paying these dividends, Drone INC received a dividend refund of $8,400.
4) At the end of 2012, the companys refundable dividend tax on hand balance was $6450. The 2012 dividend refund was $2300
5) Other income that was reported by insal consisted of following amounts.
a. Capital gain on sale of land $24,600
b. Dividends from embridge preferred shares $6200
c. Net rental income from residential properties $4200

6) Insal ltd is aasociated with several other copororations. Insal has been allocated $45,000 of the associated groups annual business limit. This amount is significantly less than the companys active business income for 2013.
Requred: for the taxation year ending December 31, 2013, determine the part IV and refundable part 1 taxes that will be payable by Insal ltd. In addition, determine the balance in the refundable dividend tax on hand account at December 31 2013, and any dividend refund available. Show all the calcluations used to provide the required information, including those for which the result is NIL.


Accounting Basics, Accounting

  • Category:- Accounting Basics
  • Reference No.:- M945216

Have any Question? 

Related Questions in Accounting Basics

Taxation law and practice assignment-questionstephanie

TAXATION LAW AND PRACTICE ASSIGNMENT- QUESTION Stephanie Rogan ran her own advertising company.  Stephanie was an advertising executive with a large advertising agency company, Greater Union Advertisers Pty Ltd.  She lef ...

1 which of the following scenarios will qualify under

1. Which of the following scenarios will qualify under Section 351 as a nontaxable corporate formation? For those that do not qualify, what requirement of section 351 do they violate? a. Giner, Mary Ann, and Mrs. Howell ...

Practice questionsexplain the importance of the assumptions

Practice questions: Explain the importance of the assumptions used by accountants. and describe any four.

Accounting for managers- shareholders and lenders whilst

Accounting for Managers- Shareholders and lenders, whilst not being the only stakeholders, provide capital to companies because they seek a return commensurate with the level of risk that they are willing to take. You ar ...

Assignment - journals ledger and trial balancethe following

Assignment - Journals, Ledger and Trial Balance The following transactions relates to Merlin Bruce, a sole trader, during his first month of business: Date Transaction details 01-Jan Started business by investing $25,000 ...

Practice questionsdescribe the main features of a

Practice questions: Describe the main features of a partnership and explain their importance to anyone considering starting such a business.

Q1 kay corporation is engaged in the furniture

Q1. Kay Corporation is engaged in the furniture manufacturing business. Following are some of the financial figures of company: Sales                                      Rs. 760,000 Net Profit                            ...

Assignmentthis assignment has 2 parts 1000 10 word theory

Assignment This assignment has 2 parts, 1000 + 10% word theory interpretation essay and a response to a practical application of the theory. The assignment must be typed, use Arial font, 12, to avoid plagiarism, make sur ...

The costs listed below relate to a variety of different

The costs listed below relate to a variety of different decision situations. Cost Decision 1. Unavoidable fixed overhead Eliminate an unprofitable segment 2. Direct labor Make or buy 3. Original cost of old equipment Equ ...

Enter the given transactions in the bank account in ajays

Enter the given transactions in the bank account in Ajay's ledger 1 The owner started her business with a capital contribution of N$25 000 which she deposited in the business' bank account 3. Purchased stationary, N$140 ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

A cola-dispensing machine is set to dispense 9 ounces of

A cola-dispensing machine is set to dispense 9 ounces of cola per cup, with a standard deviation of 1.0 ounce. The manuf

What is marketingbullwhat is marketing think back to your

What is Marketing? • "What is marketing"? Think back to your impressions before you started this class versus how you

Question -your client david smith runs a small it

QUESTION - Your client, David Smith runs a small IT consulting business specialising in computer software and techno

Inspection of a random sample of 22 aircraft showed that 15

Inspection of a random sample of 22 aircraft showed that 15 needed repairs to fix a wiring problem that might compromise

Effective hrmquestionhow can an effective hrm system help

Effective HRM Question How can an effective HRM system help facilitate the achievement of an organization's strate