SSS Problem Twelve - 5 (Corporate Tax Payable) Indio Inc. isa Canadian controlled private corporation (CCPC). All of the shares are owned by Jean Indio and his spouse. The Company has a December 31 year end. Atthe beginningof 2019, the Company had the following carry forward balances available: Non-Capital Loss $42,000 Net Capital Loss [(1/2)($62,000)} 31,000 Charitable Donations: 12,000 For the taxation year ending December 31, 2019, the company had accou before any provision for taxes, of $527,000. Other information related to this income for the year is as follows: 1. Accounting income included $17,000 in dividends received from taxable Canadian corporations. Adjusted Aggregate Investment Income for 2018 was $23,000 2. The Company has deducted amortization expense of $127,000. It has been determined that maximum CCA is $143,000, an amount which the company intends to deduct for tax purposes. 3. Duringthe year, the Company sold a building for $523,000, including an estimated value for the land of $100,000. The building had been acq} estimated $100,000 for the land. Atthe time of the sale, the net book value of the building was $310,000, with the company recording an accounting gain on the building sale of $113,000 [($523,000 - $100,000) - $310,000)}. Thiswas the only building in Class‘ and, at the beginning of 2019, the UCC for Class 1 was $290,000. There were no additions to Class 1 prior to the end of the year. The Company deducted $8,500 1g the year. The Company deducted $18,000 for businessmeals and entertainment during the year. During the year, the Company earned $50,000 in foreign business income in its perma- nent establishment outside of Canada. The govemment in the foreign jurisdi withheld $7,500. The company included the $42,500 amount received in its accounting income. charitable donations d 7. The Company has determined that for 2019, it has Canadian source active business income of $436,375. Indio is not associated with any other CCPC. 8. The Company's Canadian sales occur in Newfoundland and Ontario. All of its wages and salaries are paid in those two provinces. The breakdown of these amounts is as follows: Wages And Salaries Sales Revenues Newfoundl $135,000 $500,000 Ontario: 315,000 1,000,000 Foreign ] 375,000 Total $450,000, $1,875,000 9. Using ITR 5200, the Company has determined that their M&P profits are $310,000. 10. The Company's Taxable Capital Employed In Canada has never exceeded $10 million.Required: A. 8. c Calculate the minimum Net Income For Tax Purposes for Indio Inc. for 2019. ite the amount, and Calculate the minimum Taxable Income for Indio Inc. for 2019. In type, of any carry overs that are available at the end of the year. Assume that the tax credit for the foreign taxes on business income is equal to the amount withheld. Calculate the minimum federal Part TaxPayable for Indio Inc. for 2019. Asthe corporation operates in provinces that have a reduced tax rate for M&P activity, a sepa rate calculation of the federal M&P deduction is required.