6 worked Technology 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 technology work, not a specific client's file.
Case Study 1 · Structure rebuilt
Reorganisation Completed Tax-Deferred, $34,500 Saved Each Year — Mobile App Studio, Brampton
Client: A mobile app studio · Where: Brampton, Ontario · Engagement: 7 weeks, fixed fee
Annual saving$34,500
Tax on reorganisationDeferred
Elections filedOn time
The situation — A mobile app studio, Brampton, Ontario
A mobile app studio in Brampton, Ontario had outgrown the structure it started with. Seasonal revenue reported without matching the costs that produced it was the immediate problem; the longer-term one was that the structure blocked the next step.
What we did for A mobile app studio, Brampton, Ontario
We mapped the current structure, modelled the target, and rebuilt the chart of accounts around how a technology business actually earns and spends — with the tax-deferred elections filed on time and the supporting valuations documented.
The result — A mobile app studio, Brampton, Ontario
The reorganisation completed without triggering tax, and the new structure saves approximately $34,500 a year while removing the exposure the old one carried.
Case Study 2 · Sale and succession
$765,000 Sheltered By The Lifetime Capital Gains Exemption — Hardware Startup, Kelowna
Client: A hardware startup · Where: Kelowna, British Columbia · Engagement: 8 weeks, fixed fee
Gain sheltered$765,000
ClosingOn schedule
Share qualificationMet
The situation — A hardware startup, Kelowna, British Columbia
A hardware startup in Kelowna, British Columbia had an offer on the table and 13 months to close. The shares did not qualify for the capital gains exemption, and no valuation on file to support the price the parties had agreed was part of the reason.
What we did for A hardware startup, Kelowna, British Columbia
We purified the corporation so the shares met the qualifying tests, then reassigned the asset classes on the CCA schedule and corrected the opening balances well ahead of the closing date.
The result — A hardware startup, Kelowna, British Columbia
The sale closed on schedule with $765,000 sheltered by the lifetime capital gains exemption across the shareholders.
Case Study 3 · CRA review defended
$26,500 Reassessment Reduced To Nil On Review — E-Learning Platform, Ottawa
The situation — An e-learning platform, Ottawa, Ontario
A review notice arrived at an e-learning platform in Ottawa, Ontario covering technology accounting and tax for two tax years. The auditor's working position was an adjustment of $26,500, driven by sector deductions claimed on a general-business basis rather than the technology rules.
What we did for An e-learning platform, Ottawa, Ontario
Rather than negotiate, we rebuilt the record. We aligned the reporting calendar with the sector’s own seasonal cycle rather than a generic year-end and submitted a point-by-point response that answered each proposed adjustment with the document behind it.
The result — An e-learning platform, Ottawa, Ontario
The auditor accepted the documented position and closed the review without adjustment, protecting $26,500 and leaving the prior filings undisturbed.
Case Study 4 · Planning that cut the bill
$64,000 Saved By Correcting What Prior Filings Had Missed — Digital Product Agency, Regina
Client: A digital product agency · Where: Regina, Saskatchewan · Engagement: 4 weeks, fixed fee
Saving identified$64,000
RecurringYes
Positions documentedAll
The situation — A digital product agency, Regina, Saskatchewan
A digital product agency in Regina, Saskatchewan asked for a second opinion on technology accounting and tax after three years of rising tax. The review found a chart of accounts that told the owner nothing about technology margin.
What we did for A digital product agency, Regina, Saskatchewan
We built the comparison first — current structure against two alternatives — and then documented the positions to the standard the CRA applies to this sector specifically.
The result — A digital product agency, Regina, Saskatchewan
First-year saving of $64,000, with the same benefit recurring. Every position taken is documented and supported in the file.
Case Study 5 · Records and systems rebuilt
Books Rebuilt From Source, $4,400 In Unclaimed Input Tax Found — Custom Software Development Shop, Guelph
Client: A custom software development shop · Where: Guelph, Ontario · Engagement: 10 weeks, fixed fee
Unclaimed tax found$4,400
Records rebuilt16 months
ProcessDocumented
The situation — A custom software development shop, Guelph, Ontario
A custom software development shop in Guelph, Ontario could not answer basic questions about its own numbers, because equipment and asset classes assigned by guesswork rather than the CCA schedule sat between the bank statements and the ledger.
What we did for A custom software development shop, Guelph, Ontario
We reviewed every sector-specific deduction against the current rules and claimed the ones that had been missed, then documented the process so the work does not depend on any one person remembering how it was done.
The result — A custom software development shop, Guelph, Ontario
Records rebuilt and reconciled, $4,400 recovered in input tax credits that the old file could not support, and a documented monthly process now in place.
Case Study 6 · Objection and relief
$63,000 Of Penalties And Interest Cancelled On Relief — Data Analytics Consultancy, Winnipeg
Client: A data analytics consultancy · Where: Winnipeg, Manitoba · Engagement: 5 weeks, fixed fee
Penalties and interest cancelled$63,000
Relief groundsAccepted
AssessmentAdjusted to filed position
The situation — A data analytics consultancy, Winnipeg, Manitoba
An assessment of $63,000 landed at a data analytics consultancy in Winnipeg, Manitoba following a desk review. The auditor had not seen the records behind industry-specific reporting obligations nobody had flagged.
What we did for A data analytics consultancy, Winnipeg, Manitoba
We rebuilt the chart of accounts around how a technology business actually earns and spends, then set out the legislative basis for the position alongside the documents supporting it.
The result — A data analytics consultancy, Winnipeg, Manitoba
$63,000 of penalties and interest was cancelled under the taxpayer relief provisions, and the underlying assessment was adjusted to match the filed position.
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.
