Lara Rand owns a tract of land that she had acquired many years ago for $18,000. During 2020, she gifts the land to a registered Canadian charity. At the time of the gift, the fair market value of the land is estimated to be $84,000, with the charity issuing a tax receipt for this amount. In addition to the capital gain resulting from this gift, Lara has 2020 rental income of $23,000. She has no tax credits other than her basic personal credit and the charitable donations credit resulting from the gift of the land.
Required: Determine Ms. Rand'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.

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The Answer of Lara Rand owns a tract of land that she had acquired many years ago for $18,000. During 2020, she gifts the land to a registered Canadian charity. At the time of the gift, the fair market value of the land is estimated to be $84,000, with the charity issuing a tax receipt for this amount. In addition to the capital gain resulting from this gift, Lara has 2020 rental income of $23,000. She has no tax credits other than her basic personal credit and the charitable donations credit resulting from the gift of the land.
Required: Determine Ms. Rand'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.

Lara Rand Owns a Tract of Land That She Had