6 worked Wealth Management Firms 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 wealth management firms work, not a specific client's file.
Case Study 1 · CRA review defended
$135,000 Reassessment Reduced To Nil On Review — Leasing Company, Kitchener
Client: A leasing company · Where: Kitchener, Ontario · Engagement: 5 weeks, fixed fee
Reassessment reduced toNil
Tax protected$135,000
Prior filingsUndisturbed
The situation — A leasing company, Kitchener, Ontario
A review notice arrived at a leasing company in Kitchener, Ontario, covering wealth management firms accounting and tax for two tax years. The auditor's working position was an adjustment of $135,000. It was driven by equipment and asset classes assigned by guesswork rather than the CCA schedule.
What we did for A leasing company, Kitchener, Ontario
Rather than negotiate, we rebuilt the record. We documented the positions to the standard the CRA applies to this sector specifically. We then submitted a point-by-point response that answered each proposed adjustment with the document behind it.
The result — A leasing company, Kitchener, Ontario
The auditor accepted the documented position and closed the review without adjustment, protecting $135,000 and leaving the prior filings undisturbed.
Client: A financial planning practice · Where: Lethbridge, Alberta · Engagement: 4 weeks, fixed fee
Annual saving$70,000
ReorganisationTax-neutral
StructureMatches operations
The situation — A financial planning practice, Lethbridge, Alberta
The structure at a financial planning practice in Lethbridge, Alberta needed fixing. The file was carrying sector deductions claimed on a general-business basis rather than the wealth management firms rules. Every option for fixing it ran through a reorganisation that had to be done without triggering tax.
What we did for A financial planning practice, Lethbridge, Alberta
We worked with the client's lawyer. Together, we reassigned the asset classes on the CCA schedule and corrected the opening balances. We also prepared the elections, resolutions and valuations the structure needed to stand up.
The result — A financial planning practice, Lethbridge, Alberta
The structure now matches the business. Annual saving of $70,000, and the reorganisation itself was tax-neutral.
Case Study 3 · Cash and remittance control
Instalments Rebased, $160,000 Of Cash Returned To The Business — Wealth Management Practice, Hamilton
Client: A wealth management practice · Where: Hamilton, Ontario · Engagement: 7 weeks, fixed fee
Cash returned$160,000
Instalment basisCurrent year
ReviewedQuarterly
The situation — A wealth management practice, Hamilton, Ontario
A wealth management practice in Hamilton, Ontario was paying instalments calculated on a prior year. That year no longer reflected the business. Seasonal revenue reported without matching the costs that produced it was tying up $160,000 of cash.
What we did for A wealth management practice, Hamilton, Ontario
We rebased the instalments on the current-year estimate rather than the prior-year default. Alongside that, we reviewed every sector-specific deduction against the current rules and claimed the ones that had been missed.
The result — A wealth management practice, Hamilton, Ontario
$160,000 of cash stayed in the business, the penalty cycle ended, and the instalment position is reviewed each quarter against actual results.
Case Study 4 · Missed incentive claimed
$101,000 In Credits Claimed That Prior Filings Had Missed — Private Lending Business, Red Deer
Client: A private lending business · Where: Red Deer, Alberta · Engagement: 8 weeks, fixed fee
Credits claimed$101,000
Years adjusted4
Review outcomeNo adjustment
The situation — A private lending business, Red Deer, Alberta
A private lending business in Red Deer, Alberta had been filing for 4 years. In that time, the incentives its activity qualified for were never claimed. Behind that sat sector incentives that had never been tested against wealth management firms activity.
What we did for A private lending business, Red Deer, Alberta
We tested each activity against the eligibility criteria rather than the description on the invoice. Then we aligned the reporting calendar with the sector’s own seasonal cycle rather than a generic year-end.
The result — A private lending business, Red Deer, Alberta
$101,000 in credits claimed, with the open prior years adjusted as well. The claim passed review without adjustment.
Case Study 5 · Objection and relief
$103,000 Of Penalties And Interest Cancelled On Relief — Investment Advisory Firm, Toronto
The situation — An investment advisory firm, Toronto, Ontario
An assessment of $103,000 landed at an investment advisory firm in Toronto, Ontario following a desk review. It turned on a previous accountant with no experience of this sector. The auditor had not seen the records behind it.
What we did for An investment advisory firm, Toronto, Ontario
We rebuilt the chart of accounts around how a wealth management firms business actually earns and spends. We then set out the legislative basis for the position alongside the documents supporting it.
The result — An investment advisory firm, Toronto, Ontario
$103,000 of penalties and interest was cancelled under the taxpayer relief provisions, and the underlying assessment was adjusted to match the filed position.
Case Study 6 · Planning that cut the bill
$70,000 Saved By Correcting What Prior Filings Had Missed — Insurance Brokerage, Surrey
Client: An insurance brokerage · Where: Surrey, British Columbia · Engagement: 10 weeks, fixed fee
Saving identified$70,000
RecurringYes
Positions documentedAll
The situation — An insurance brokerage, Surrey, British Columbia
An insurance brokerage in Surrey, British Columbia asked for a second opinion on wealth management firms accounting and tax. That followed three years of rising tax. The review found industry-specific reporting obligations nobody had flagged.
What we did for An insurance brokerage, Surrey, British Columbia
We built the comparison first: current structure against two alternatives. Then we documented the positions to the standard the CRA applies to this sector specifically.
The result — An insurance brokerage, Surrey, British Columbia
First-year saving of $70,000, with the same benefit recurring. Every position taken is documented and supported in the file.
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.
