6 worked Staffing & Recruitment 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 staffing & recruitment firms work, not a specific client's file.
Case Study 1 · Structure rebuilt
Corporate Structure Rebuilt For $23,500 Of Annual Savings — Recruitment Firm, London
The situation — A recruitment firm, London, Ontario
The structure at a recruitment firm in London, Ontario dated from years earlier. It had been set up for a business that no longer existed. Sector deductions claimed on a general-business basis rather than the staffing & recruitment firms rules had become expensive.
What we did for A recruitment firm, London, 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 recruitment firm, London, Ontario
$23,500 of annual saving, achieved on a tax-deferred basis. The minute book, elections and valuations are all in the file.
Case Study 2 · Cash and remittance control
Instalments Rebased, $35,500 Of Cash Returned To The Business — Two-Partner Engineering Practice, Windsor
Client: A two-partner engineering practice · Where: Windsor, Ontario · Engagement: 10 weeks, fixed fee
Cash returned$35,500
Instalment basisCurrent year
ReviewedQuarterly
The situation — A two-partner engineering practice, Windsor, Ontario
A two-partner engineering practice in Windsor, 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 $35,500 of cash.
What we did for A two-partner engineering practice, Windsor, Ontario
We rebased the instalments on the current-year estimate rather than the prior-year default. Alongside that, we reassigned the asset classes on the CCA schedule and corrected the opening balances.
The result — A two-partner engineering practice, Windsor, Ontario
$35,500 of cash stayed in the business, the penalty cycle ended, and the instalment position is reviewed each quarter against actual results.
Case Study 3 · Missed incentive claimed
$22,000 In Credits Claimed That Prior Filings Had Missed — Insurance Brokerage, Calgary
Client: An insurance brokerage · Where: Calgary, Alberta · Engagement: 7 weeks, fixed fee
Credits claimed$22,000
Years adjusted7
Review outcomeNo adjustment
The situation — An insurance brokerage, Calgary, Alberta
An insurance brokerage in Calgary, Alberta had been filing for 7 years. In that time, the incentives its activity qualified for were never claimed. Behind that sat sector incentives that had never been tested against staffing & recruitment firms activity.
What we did for An insurance brokerage, Calgary, Alberta
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 — An insurance brokerage, Calgary, Alberta
$22,000 in credits claimed, with the open prior years adjusted as well. The claim passed review without adjustment.
Case Study 4 · Objection and relief
Notice Of Objection Allowed In Full, $25,000 Reversed — Architecture Studio, Surrey
Client: An architecture studio · Where: Surrey, British Columbia · Engagement: 10 weeks, fixed fee
Amount reversed$25,000
ObjectionAllowed in full
Account balanceNil
The situation — An architecture studio, Surrey, British Columbia
An architecture studio in Surrey, British Columbia had been reassessed for $25,000. 19 days were left on the objection deadline. The reassessment rested on a previous accountant with no experience of this sector.
What we did for An architecture studio, Surrey, British Columbia
We filed the objection inside the deadline with a complete submission rather than a placeholder. Alongside it, we aligned the reporting calendar with the sector’s own seasonal cycle rather than a generic year-end.
The result — An architecture studio, Surrey, British Columbia
The appeals officer allowed the objection in full. $25,000 was reversed and the account returned to a nil balance.
Case Study 5 · Planning that cut the bill
$27,500 Cut From The Annual Tax Bill — Executive Coaching Practice, Kitchener
Client: An executive coaching practice · Where: Kitchener, Ontario · Engagement: 5 weeks, fixed fee
First-year saving$27,500
RepeatsAnnually
Filing positionUnchanged in risk
The situation — An executive coaching practice, Kitchener, Ontario
An executive coaching practice in Kitchener, Ontario was compliant but paying more than it needed to. The prior year had been filed correctly. It still left industry-specific reporting obligations nobody had flagged on the table.
What we did for An executive coaching practice, Kitchener, Ontario
We modelled the current position against the alternatives before changing anything. Then we rebuilt the chart of accounts around how a staffing & recruitment firms business actually earns and spends.
The result — An executive coaching practice, Kitchener, Ontario
The change saved $27,500 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 · Sale and succession
Intergenerational Transfer Completed With $475,000 Deferred — Translation Services Company, Guelph
Client: A translation services company · Where: Guelph, Ontario · Engagement: 9 weeks, fixed fee
Tax deferred$475,000
TransferCompleted
RecordsReview-ready
The situation — A translation services company, Guelph, Ontario
A generational transfer at a translation services company in Guelph, Ontario had been discussed for years without a plan. Passive assets sitting inside the operating company, disqualifying the shares meant the transfer as contemplated would have been fully taxable.
What we did for A translation services company, Guelph, Ontario
We documented the positions to the standard the CRA applies to this sector specifically. We sequenced the steps so each one was complete and documented before the next depended on it.
The result — A translation services company, Guelph, Ontario
$475,000 of tax was deferred through the transfer, and the successor generation took over a corporation whose records stood up to review.
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.
