6 worked Engineering 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 engineering firms work, not a specific client's file.
Case Study 1 · Deadline rescue
Filed On Time From A Standing Start, $61,000 Penalty Avoided — Architecture Studio, Kitchener
Client: An architecture studio · Where: Kitchener, Ontario · Engagement: 4 weeks, fixed fee
Penalty avoided$61,000
Turnaround4 weeks
FiledOn time
The situation — An architecture studio, Kitchener, Ontario
An architecture studio in Kitchener, Ontario came to us 4 weeks before its filing deadline with equipment and asset classes assigned by guesswork rather than the CCA schedule. A late filing would have triggered a penalty of roughly $61,000 before interest.
What we did for An architecture studio, Kitchener, Ontario
We worked backwards from the deadline. We rebuilt the chart of accounts around how a engineering firms business actually earns and spends, prioritising the items that actually gated the filing and deferring everything that did not.
The result — An architecture studio, Kitchener, Ontario
The return was filed on time and complete. The $61,000 penalty never arose, and the compliance calendar we set means the next deadline is scheduled rather than discovered.
Case Study 2 · Structure rebuilt
Corporate Structure Rebuilt For $64,000 Of Annual Savings — Boutique Law Firm, Toronto
Client: A boutique law firm · Where: Toronto, Ontario · Engagement: 6 weeks, fixed fee
Saving per year$64,000
DocumentationComplete
Transfer basisRollover
The situation — A boutique law firm, Toronto, Ontario
The structure at a boutique law firm in Toronto, Ontario had been set up years earlier for a business that no longer existed, and industry-specific reporting obligations nobody had flagged had become expensive.
What we did for A boutique law firm, Toronto, Ontario
We documented the positions to the standard the CRA applies to this sector specifically. The reorganisation used the rollover provisions rather than a taxable transfer, so no tax fell due on the restructuring itself.
The result — A boutique law firm, Toronto, Ontario
$64,000 of annual saving, achieved on a tax-deferred basis. The minute book, elections and valuations are all in the file.
Case Study 3 · Sale and succession
Intergenerational Transfer Completed With $540,000 Deferred — Insurance Brokerage, Halifax
Client: An insurance brokerage · Where: Halifax, Nova Scotia · Engagement: 9 weeks, fixed fee
Tax deferred$540,000
TransferCompleted
RecordsReview-ready
The situation — An insurance brokerage, Halifax, Nova Scotia
A generational transfer at an insurance brokerage in Halifax, Nova Scotia had been discussed for years without a plan. A single shareholder holding every share, with no room to multiply the exemption meant the transfer as contemplated would have been fully taxable.
What we did for An insurance brokerage, Halifax, Nova Scotia
We reassigned the asset classes on the CCA schedule and corrected the opening balances, sequencing the steps so each one was complete and documented before the next depended on it.
The result — An insurance brokerage, Halifax, Nova Scotia
$540,000 of tax was deferred through the transfer, and the successor generation took over a corporation whose records stood up to review.
Case Study 4 · CRA review defended
$65,000 Reassessment Reduced To Nil On Review — Marketing Agency, Windsor
The situation — A marketing agency, Windsor, Ontario
A review notice arrived at a marketing agency in Windsor, Ontario covering engineering firms accounting and tax for two tax years. The auditor's working position was an adjustment of $65,000, driven by a previous accountant with no experience of this sector.
What we did for A marketing agency, Windsor, Ontario
Rather than negotiate, we rebuilt the record. We reviewed every sector-specific deduction against the current rules and claimed the ones that had been missed and submitted a point-by-point response that answered each proposed adjustment with the document behind it.
The result — A marketing agency, Windsor, Ontario
The auditor accepted the documented position and closed the review without adjustment, protecting $65,000 and leaving the prior filings undisturbed.
Case Study 5 · Planning that cut the bill
$54,000 Cut From The Annual Tax Bill — Two-Partner Engineering Practice, Mississauga
Client: A two-partner engineering practice · Where: Mississauga, Ontario · Engagement: 11 weeks, fixed fee
First-year saving$54,000
RepeatsAnnually
Filing positionUnchanged in risk
The situation — A two-partner engineering practice, Mississauga, Ontario
A two-partner engineering practice in Mississauga, Ontario was compliant but paying more than it needed to. The prior year had been filed correctly and still left sector deductions claimed on a general-business basis rather than the engineering firms rules on the table.
What we did for A two-partner engineering practice, Mississauga, Ontario
We modelled the current position against the alternatives before changing anything, then aligned the reporting calendar with the sector’s own seasonal cycle rather than a generic year-end.
The result — A two-partner engineering practice, Mississauga, Ontario
The change saved $54,000 in the first year and repeats annually. Nothing about the filings became more aggressive; the position is simply the one the rules already allowed.
Case Study 6 · Records and systems rebuilt
Month-End Close Cut From 9 Weeks To 9 Days — Surveying Practice, Burnaby
Client: A surveying practice · Where: Burnaby, British Columbia · Engagement: 11 weeks, fixed fee
Close time before9 weeks
Close time after9 days
Year-endReview, not rebuild
The situation — A surveying practice, Burnaby, British Columbia
The accounting file at a surveying practice in Burnaby, British Columbia was built on a chart of accounts that told the owner nothing about engineering firms margin. The year-end had taken 9 weeks each of the last three years.
What we did for A surveying practice, Burnaby, British Columbia
We rebuilt the chart of accounts around how a engineering firms business actually earns and spends and moved the reconciliations into the monthly cycle, so the year-end stopped being a rebuild.
The result — A surveying practice, Burnaby, British Columbia
The file reconciles. Month-end closes in 9 days instead of 9 weeks, and the year-end is a review rather than a reconstruction.
Reviewed for the 2025 tax year by Udit Gupta, Founder and Tax Accountant. 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.
