How much tax will he pay on the sale

Assignment Help Accounting Basics
Reference no: EM133121083

Question - Three years ago, Vasu purchased 8,750 shares in a Canadian start-up company called Wild Ride Inc. for $8,000. He decided to sell 1,000 shares on February 18, 2021, when they hit $6/share so he could contribute to his Tax-Free Savings Account (TFSA). He knew he would incur a large capital gain which he would have to report on his 2021 personal income tax return, however he also had a capital loss of $600 on some mutual funds that he sold in December 2021. Knowing that Vasu lives in Quebec and is in the highest marginal tax bracket, how much tax will he pay on the sale of these investments in 2021?

Reference no: EM133121083

Questions Cloud

Improve performance : Why have the funds performed so well/badly? What recommendations would you offer to improve performance?
Calculate unit cost for the transferred-in category : Further, the mixing department completed and transferred out 69,000 tons at a cost of $22,300 in June. Calculate unit cost for the transferred-in category
Write python programs to generate your own style : Write Python programs to generate your own style of music and Write Python comments to explain what your program is doing
Required rate of return : What is the most you would be willing to pay for a investment that will pay you $935 in one year, $475, in two years, and $878 in three years, if your required
How much tax will he pay on the sale : Knowing that Vasu lives in Quebec and is in the highest marginal tax bracket, how much tax will he pay on the sale of these investments in 2021
Determine the value of operations for golden enterprises : Golden Enterprises Inc. is a producer of medical pumps. The company's stock price dropped 15% last year due to worsening financial ratios and declining market s
Please provide any required adjustments : Company XYZ did not receive vendor invoice in the amount of $500 until 04/8/2019, Please provide any required adjustments
Retirement savings account that earns an annual return : You currently have $3,547 in a retirement savings account that earns an annual return of 08.00%. You want to retire in 49 years with $1,000,000.
What is the effective annual rate of interest : A loan has a stated annual rate of 04.00%. If loan payments are made monthly and interest is compounded monthly, what is the effective annual rate of interest?

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd