6 worked AI & Machine Learning 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 ai & machine learning firms work, not a specific client's file.
Case Study 1 · CRA review defended
Audit Defence Closed In 4 Weeks, $77,000 Cleared — Digital Product Agency, Calgary
Client: A digital product agency · Where: Calgary, Alberta · Engagement: 4 weeks, fixed fee
Proposed tax cleared$77,000
Review duration4 weeks
OutcomeNo change
The situation — A digital product agency, Calgary, Alberta
A digital product agency in Calgary, Alberta was selected for review after seasonal revenue reported without matching the costs that produced it showed up in the CRA's automated matching. The proposed adjustment on ai & machine learning firms accounting and tax came to $77,000.
What we did for A digital product agency, Calgary, Alberta
We reviewed every sector-specific deduction against the current rules and claimed the ones that had been missed. Every figure in the response traced to a source record the auditor could verify without asking a second question.
The result — A digital product agency, Calgary, Alberta
The review closed with no change. $77,000 of proposed tax came off the table, and the documentation now in place makes the next review a short one.
Case Study 2 · Objection and relief
$44,000 Of Penalties And Interest Cancelled On Relief — Data Analytics Consultancy, Moncton
Client: A data analytics consultancy · Where: Moncton, New Brunswick · Engagement: 9 weeks, fixed fee
Penalties and interest cancelled$44,000
Relief groundsAccepted
AssessmentAdjusted to filed position
The situation — A data analytics consultancy, Moncton, New Brunswick
An assessment of $44,000 landed at a data analytics consultancy in Moncton, New Brunswick 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, Moncton, New Brunswick
We rebuilt the chart of accounts around how a ai & machine learning firms 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, Moncton, New Brunswick
$44,000 of penalties and interest was cancelled under the taxpayer relief provisions, and the underlying assessment was adjusted to match the filed position.
Case Study 3 · Scaling without breaking
Second-Province Expansion Handled, $47,000 Of Cash Released — B2B SaaS Company, Brampton
Client: A B2B SaaS company · Where: Brampton, Ontario · Engagement: 11 weeks, fixed fee
Cash released$47,000
New registrationsComplete on day one
Compliance gapsNone
The situation — A B2B SaaS company, Brampton, Ontario
Revenue at a B2B SaaS company in Brampton, Ontario was up sharply and cash was tighter than ever. Underneath it sat equipment and asset classes assigned by guesswork rather than the CCA schedule.
What we did for A B2B SaaS company, Brampton, Ontario
We reassigned the asset classes on the CCA schedule and corrected the opening balances. Every new obligation — registration, remittance frequency, provincial filing — was set up before it was triggered, not after.
The result — A B2B SaaS company, Brampton, Ontario
$47,000 of cash was released from the working capital cycle, and the expansion completed with every registration and filing obligation covered from day one.
Case Study 4 · Structure rebuilt
Corporate Structure Rebuilt For $34,500 Of Annual Savings — Hardware Startup, Hamilton
The situation — A hardware startup, Hamilton, Ontario
The structure at a hardware startup in Hamilton, Ontario had been set up years earlier for a business that no longer existed, and a chart of accounts that told the owner nothing about ai & machine learning firms margin had become expensive.
What we did for A hardware startup, Hamilton, Ontario
We aligned the reporting calendar with the sector’s own seasonal cycle rather than a generic year-end. The reorganisation used the rollover provisions rather than a taxable transfer, so no tax fell due on the restructuring itself.
The result — A hardware startup, Hamilton, Ontario
$34,500 of annual saving, achieved on a tax-deferred basis. The minute book, elections and valuations are all in the file.
Case Study 5 · Planning that cut the bill
$58,000 Saved By Correcting What Prior Filings Had Missed — Custom Software Development Shop, Vancouver
Client: A custom software development shop · Where: Vancouver, British Columbia · Engagement: 6 weeks, fixed fee
Saving identified$58,000
RecurringYes
Positions documentedAll
The situation — A custom software development shop, Vancouver, British Columbia
A custom software development shop in Vancouver, British Columbia asked for a second opinion on ai & machine learning firms accounting and tax after three years of rising tax. The review found sector deductions claimed on a general-business basis rather than the ai & machine learning firms rules.
What we did for A custom software development shop, Vancouver, British Columbia
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 custom software development shop, Vancouver, British Columbia
First-year saving of $58,000, with the same benefit recurring. Every position taken is documented and supported in the file.
Case Study 6 · Backlog brought current
Collections Halted And $43,000 Cut From A 6-Year Backlog — Cybersecurity Firm, Barrie
The situation — A cybersecurity firm, Barrie, Ontario
By the time a cybersecurity firm in Barrie, Ontario called, 6 years were outstanding and the CRA had assessed on estimates. Underneath it sat a previous accountant with no experience of this sector.
What we did for A cybersecurity firm, Barrie, Ontario
We reconstructed the records year by year and reviewed every sector-specific deduction against the current rules and claimed the ones that had been missed. Each filing replaced an arbitrary assessment with a real one.
The result — A cybersecurity firm, Barrie, Ontario
The account is current. Filing on real numbers rather than CRA estimates reduced the balance by $43,000, and a relief application addressed part of the accumulated interest.
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.
