6 worked Online Marketplace Sellers case studies — the position a client typically comes to us with, what we do, and what it is worth. Each is an illustrative example built on the rules that apply to online marketplace sellers work, not a specific client's file.
Case Study 1 · CRA review defended
Audit Defence Closed In 4 Weeks, $53,000 Cleared — Shopify Store Shipping Nationwide, Windsor
Client: A Shopify store shipping nationwide · Where: Windsor, Ontario · Engagement: 4 weeks, fixed fee
Proposed tax cleared$53,000
Review duration4 weeks
OutcomeNo change
The situation — A Shopify store shipping nationwide, Windsor, Ontario
A Shopify store shipping nationwide in Windsor, Ontario was selected for review. A previous accountant with no experience of this sector had shown up in the CRA's automated matching. The proposed adjustment on online marketplace sellers accounting and tax came to $53,000.
What we did for A Shopify store shipping nationwide, Windsor, Ontario
We reassigned the asset classes on the CCA schedule and corrected the opening balances. Every figure in the response traced to a source record the auditor could verify without asking a second question.
The result — A Shopify store shipping nationwide, Windsor, Ontario
The review closed with no change. $53,000 of proposed tax came off the table, and the documentation now in place makes the next review a short one.
Case Study 2 · Deadline rescue
3-Week Turnaround Beat The Deadline And Saved $47,000 — Subscription Box Company, Brampton
Client: A subscription box company · Where: Brampton, Ontario · Engagement: 3 weeks, fixed fee
Late-filing penalty avoided$47,000
Filed with7 days to spare
Next yearPapers ready
The situation — A subscription box company, Brampton, Ontario
A subscription box company in Brampton, Ontario was weeks away from the deadline for online marketplace sellers accounting and tax. Behind that sat a chart of accounts that told the owner nothing about online marketplace sellers margin. The exposure if the date slipped was around $47,000.
What we did for A subscription box company, Brampton, Ontario
We rebuilt the chart of accounts around how an online marketplace sellers business actually earns and spends. The filing went in complete rather than provisional, so there was no amended return to follow.
The result — A subscription box company, Brampton, Ontario
Filed with 7 days to spare. $47,000 in late-filing penalties avoided, and the working papers are ready for the following year.
Case Study 3 · Missed incentive claimed
$12,500 In Credits Claimed That Prior Filings Had Missed — Print-On-Demand Business, Surrey
Client: A print-on-demand business · Where: Surrey, British Columbia · Engagement: 7 weeks, fixed fee
Credits claimed$12,500
Years adjusted5
Review outcomeNo adjustment
The situation — A print-on-demand business, Surrey, British Columbia
A print-on-demand business in Surrey, British Columbia had been filing for 5 years. In that time, the incentives its activity qualified for were never claimed. Behind that sat provincial credits left unclaimed alongside every federal filing.
What we did for A print-on-demand business, Surrey, British Columbia
We tested each activity against the eligibility criteria rather than the description on the invoice. Then we reviewed every sector-specific deduction against the current rules and claimed the ones that had been missed.
The result — A print-on-demand business, Surrey, British Columbia
$12,500 in credits claimed, with the open prior years adjusted as well. The claim passed review without adjustment.
Case Study 4 · Records and systems rebuilt
11 Months Reconciled And $18,500 Of Input Tax Recovered — Cross-Border Dropshipper, Mississauga
The situation — A cross-border dropshipper, Mississauga, Ontario
Nothing reconciled at a cross-border dropshipper in Mississauga, Ontario. Every filing started with 11 months of cleanup. The file was carrying seasonal revenue reported without matching the costs that produced it.
What we did for A cross-border dropshipper, Mississauga, Ontario
We rebuilt from source rather than correcting on top of the existing file. We documented the positions to the standard the CRA applies to this sector specifically. Then we set the routine that keeps it clean.
The result — A cross-border dropshipper, Mississauga, Ontario
11 months reconciled to the bank. The close now takes 4 days, and $18,500 of previously unclaimable input tax was recovered in the process.
Case Study 5 · Sale and succession
$570,000 Sheltered By The Lifetime Capital Gains Exemption — Handmade Goods Marketplace Seller, Guelph
The situation — A handmade goods marketplace seller, Guelph, Ontario
A handmade goods marketplace seller in Guelph, Ontario had an offer on the table and 34 months to close. The shares did not qualify for the capital gains exemption. No valuation on file to support the price the parties had agreed was part of the reason.
What we did for A handmade goods marketplace seller, Guelph, Ontario
We purified the corporation so the shares met the qualifying tests. We aligned the reporting calendar with the sector’s own seasonal cycle rather than a generic year-end. All of it was done well ahead of the closing date.
The result — A handmade goods marketplace seller, Guelph, Ontario
The sale closed on schedule with $570,000 sheltered by the lifetime capital gains exemption across the shareholders.
Case Study 6 · Cash and remittance control
Remittance Schedule Corrected, $119,000 Refunded — Supplements Brand, Victoria
Client: A supplements brand · Where: Victoria, British Columbia · Engagement: 9 weeks, fixed fee
Overpayment refunded$119,000
Late remittances sinceZero
ScheduleAutomated
The situation — A supplements brand, Victoria, British Columbia
Remittances at a supplements brand in Victoria, British Columbia were consistently late by a few days. That was enough to trigger penalties every quarter. Behind it sat equipment and asset classes assigned by guesswork rather than the CCA schedule.
What we did for A supplements brand, Victoria, British Columbia
We reassigned the asset classes on the CCA schedule and corrected the opening balances. Then we moved the remittance dates into a scheduled process rather than a monthly decision.
The result — A supplements brand, Victoria, British Columbia
Penalties stopped from the following remittance onwards, and $119,000 of overpaid instalments was refunded.
Reviewed by Udit Gupta, Founder and Tax Accountant for the 2025 tax year. These case studies are illustrative worked examples composed from the CRA rules that apply to this type of work, not specific client files; figures are representative and outcomes depend on your own facts.
