Ms Katrina Wave Owns a Painting That She Purchased Many

Ms. Katrina Wave owns a painting that she purchased many years ago for $22,000. Its current fair market value is $132,500. During 2020, she gifts the painting to the Renfrew Art Gallery. As the Gallery is a registered Canadian charity, it provides Ms. Wave with a tax receipt for the fair market value of $132,500. Before consideration of any income resulting from this gift, Ms. Wave's only other income is investment income of $12,500. She has no tax credits other than her basic personal credit and the charitable donations credit resulting from the gift of the painting.
Required: Determine Ms. Wave's:
• 2020 Net Income For Tax Purposes;
• her maximum federal charitable donations tax credit for 2020;
• the amount of the donation she should claim in 2020 in order to reduce her federal Tax Payable to nil; and
• the amount of contributions that can be carried forward to subsequent years, assuming that she claims the amount of contributions that would reduce her Tax Payable to nil.