Category | Assignment | Subject | Business |
---|---|---|---|
University | Sprott School of Business | Module Title |
Orion Enterprises Inc.is a Canadian-Controlled Private Corporation (CCPC) involved in wholesale and manufacturing operations, with business activities confined to Canada. Orion holds 60% of the voting common shares in Nova Ltd. For the fiscal year ending December 31, 2024, Orion Enterprises Inc. reported the following taxable income:
Net income for tax purposes $ 600,000
Less:
Net capital loss (12,000)
Charitable donations (7,000)
Taxable Canadian dividends from shares of public corporations (18,000)
Taxable income $563,000
The net income includes $20,000 of net taxable capital gains and $14,000 of interest income from bonds. It also encompasses $18,000 of dividends from public corporations, which were deducted in the calculation of taxable income above. Profits from manufacturing and processing (M&P) qualifying for the M&P deduction amount to $420,000.
Required: Calculate the 2024 taxes payable, including schedules such as the General Rate Income Pool (GRIP) balance.
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