6 worked Accounting Policy Development 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 accounting policy development work, not a specific client's file.
Case Study 1 · Objection and relief
Desk-Review Assessment Of $99,000 Vacated — Related-Company Pair, Guelph
Client: A corporation sharing administration with a related company · Where: Guelph, Ontario · Engagement: 3 weeks, fixed fee
Assessment vacated$99,000
Supporting recordsNow on file
AccountCleared
The situation — A corporation sharing administration with a related company, Guelph, Ontario
A corporation sharing administration with a related company in Guelph, Ontario was carrying $99,000 of penalties and interest. The charges arose from inter-company balances between two related corporations that had never been reconciled. Much of that amount accumulated during a period the CRA itself had delayed.
What we did for A corporation sharing administration with a related company, Guelph, Ontario
We built a fixed-asset continuity schedule from the purchase invoices. We set the capital cost allowance claim class by class rather than claiming the maximum by default. We framed the relief application on the specific grounds the CRA guidelines recognise rather than on general hardship.
The result — A corporation sharing administration with a related company, Guelph, Ontario
The assessment was vacated. $99,000 came off the account, and the documentation now on file makes the same position straightforward to defend next time.
Case Study 2 · Sale and succession
Intergenerational Transfer Completed With $565,000 Deferred — First Year-End Corporation, Halifax
Client: An owner-managed corporation preparing its first year-end · Where: Halifax, Nova Scotia · Engagement: 3 weeks, fixed fee
Tax deferred$565,000
TransferCompleted
RecordsReview-ready
The situation — An owner-managed corporation preparing its first year-end, Halifax, Nova Scotia
A generational transfer at an owner-managed corporation preparing its first year-end in Halifax, Nova Scotia had been discussed for years without a plan. Retained cash well above what the business needed to operate meant the transfer as contemplated would have been fully taxable.
What we did for An owner-managed corporation preparing its first year-end, Halifax, Nova Scotia
We rebuilt the trial balance from source documents, reconciled every bank and credit-card account, and issued a CSRS 4200 compilation with a proper basis-of-accounting note. We sequenced the steps so each one was complete and documented before the next depended on it.
The result — An owner-managed corporation preparing its first year-end, Halifax, Nova Scotia
$565,000 of tax was deferred through the transfer, and the successor generation took over a corporation whose records stood up to review.
Case Study 3 · Scaling without breaking
Second-Province Expansion Handled, $17,000 Of Cash Released — Quarterly-Close Practice, Barrie
Client: A professional practice that closes its books quarterly · Where: Barrie, Ontario · Engagement: 3 weeks, fixed fee
Cash released$17,000
New registrationsComplete on day one
Compliance gapsNone
The situation — A professional practice that closes its books quarterly, Barrie, Ontario
Revenue at a professional practice that closes its books quarterly in Barrie, Ontario was up sharply and cash was tighter than ever. Underneath it sat year-end statements that arrived four months late and never tied to the bank.
What we did for A professional practice that closes its books quarterly, Barrie, Ontario
We valued work in progress on one consistent basis and documented the method, so the comparative year could be relied on. Every new obligation was set up before it was triggered, not after. That covered registration, remittance frequency and provincial filing.
The result — A professional practice that closes its books quarterly, Barrie, Ontario
$17,000 of cash was released from the working capital cycle. The expansion completed with every registration and filing obligation covered from day one.
Case Study 4 · Records and systems rebuilt
Month-End Close Cut From 6 Weeks To 9 Days — Off-Calendar Year-End Supplier, Hamilton
Client: A supplier with an off-calendar fiscal year-end · Where: Hamilton, Ontario · Engagement: 8 weeks, fixed fee
Close time before6 weeks
Close time after9 days
Year-endReview, not rebuild
The situation — A supplier with an off-calendar fiscal year-end, Hamilton, Ontario
The accounting file at a supplier with an off-calendar fiscal year-end in Hamilton, Ontario had a weak foundation. It was built on two sets of numbers — one in the accounting file, one the owner actually ran the business on. The year-end had taken 6 weeks each of the last three years.
What we did for A supplier with an off-calendar fiscal year-end, Hamilton, Ontario
We separated personal and corporate spending, cleared the shareholder loan through a documented salary and dividend mix, and restated the comparative year. We also moved the reconciliations into the monthly cycle, so the year-end stopped being a rebuild.
The result — A supplier with an off-calendar fiscal year-end, Hamilton, Ontario
The file reconciles. Month-end closes in 9 days instead of 6 weeks, and the year-end is a review rather than a reconstruction.
Case Study 5 · Structure rebuilt
Corporate Structure Rebuilt For $35,500 Of Annual Savings — Design Agency, Windsor
The situation — A 14-person design agency, Windsor, Ontario
The structure at a 14-person design agency in Windsor, Ontario dated from years earlier. It had been set up for a business that no longer existed. Capital assets written off in full in the year of purchase, with no fixed-asset schedule behind the deduction had become expensive.
What we did for A 14-person design agency, Windsor, Ontario
We reconciled the general ledger to the GIFI schedules filed for each open year and corrected the two years where they disagreed. The reorganisation used the rollover provisions rather than a taxable transfer, so no tax fell due on the restructuring itself.
The result — A 14-person design agency, Windsor, Ontario
$35,500 of annual saving, achieved on a tax-deferred basis. The minute book, elections and valuations are all in the file.
Case Study 6 · Missed incentive claimed
Incentive Review Recovered $32,500 Across 4 Open Years — Family Wholesale Distributor, Ottawa
The situation — A family-owned wholesale distributor, Ottawa, Ontario
An incentive review at a family-owned wholesale distributor in Ottawa, Ontario started from a simple question: what has never been claimed? The answer ran to 4 years. It was driven by a year-end moved informally, leaving twelve months of trading reported as though nothing had changed.
What we did for A family-owned wholesale distributor, Ottawa, Ontario
We set a monthly close calendar with a fixed cut-off, so the year-end became a review of work already done rather than a twelve-month rebuild. We documented eligibility to the standard a reviewer would apply rather than the standard a claim form requires.
The result — A family-owned wholesale distributor, Ottawa, Ontario
The credits produced $32,500 across the open years. The tracking now in place means the following year's claim is documented as the work happens rather than reconstructed afterwards.
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.
