6 worked Credit Card Reconciliation Services 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 credit card reconciliation services work, not a specific client's file.
Case Study 1 · CRA review defended
$109,000 Reassessment Reduced To Nil On Review — Dental Hygiene Clinic, Lethbridge
Client: A dental hygiene clinic · Where: Lethbridge, Alberta · Engagement: 8 weeks, fixed fee
Reassessment reduced toNil
Tax protected$109,000
Prior filingsUndisturbed
The situation — A dental hygiene clinic, Lethbridge, Alberta
A review notice arrived at a dental hygiene clinic in Lethbridge, Alberta, covering credit card reconciliation services for two tax years. The auditor's working position was an adjustment of $109,000. It was driven by sales recorded from bank deposits, so processor fees, chargebacks and refunds appeared nowhere in the ledger.
What we did for A dental hygiene clinic, Lethbridge, Alberta
Rather than negotiate, we rebuilt the record. We recoded the meals and entertainment accounts to the statutory limit and reversed the over-claimed input tax credits before the next return went in. We then submitted a point-by-point response that answered each proposed adjustment with the document behind it.
The result — A dental hygiene clinic, Lethbridge, Alberta
The auditor accepted the documented position and closed the review without adjustment, protecting $109,000 and leaving the prior filings undisturbed.
Case Study 2 · Scaling without breaking
Growth Handled Without A Missed Filing, $136,000 Freed — Specialty Coffee Roaster, Kitchener
The situation — A specialty coffee roaster, Kitchener, Ontario
A specialty coffee roaster in Kitchener, Ontario was opening in a second province. That meant different filing obligations and a different payroll regime. Eighteen months of unreconciled transactions and a shoebox of receipts already sat in the file.
What we did for A specialty coffee roaster, Kitchener, Ontario
We separated the owner’s personal spending out of the corporate accounts and cleared the resulting shareholder loan properly. We then put monthly reporting in place. That let the owner see the cash effect of growth while there was still time to act on it.
The result — A specialty coffee roaster, Kitchener, Ontario
Growth was absorbed without a compliance failure. $136,000 of cash was released, and the monthly reporting now flags a problem while it is still small.
Case Study 3 · Planning that cut the bill
Remuneration Review Saved $31,500 Across Corporate And Personal Returns — Residential Cleaning Franchise, Hamilton
The situation — A residential cleaning franchise, Hamilton, Ontario
Nothing was wrong at a residential cleaning franchise in Hamilton, Ontario. The filings were on time and accurate. What they were not was planned. Three years of returns filed off numbers nobody could trace back to a bank statement had never been reviewed.
What we did for A residential cleaning franchise, Hamilton, Ontario
We cleared the payroll and sales tax clearing accounts every month and tied each remittance to the liability it settled. We ran the numbers across both the corporate and personal returns, so the saving was real rather than deferred into someone else's hands.
The result — A residential cleaning franchise, Hamilton, Ontario
$31,500 came off the combined corporate and personal tax bill, and the structure holds for future years without further work.
Case Study 4 · Cash and remittance control
Remittance Schedule Corrected, $143,000 Refunded — Subscription Box Retailer, Toronto
The situation — A subscription box retailer, Toronto, Ontario
Remittances at a subscription box retailer in Toronto, Ontario were consistently late by a few days. That was enough to trigger penalties every quarter. Behind it sat meals and entertainment coded at full cost with the input tax credit claimed on the whole amount.
What we did for A subscription box retailer, Toronto, Ontario
We rebuilt sales from the processor settlement reports so gross sales, fees and refunds each landed in an account of their own. Then we moved the remittance dates into a scheduled process rather than a monthly decision.
The result — A subscription box retailer, Toronto, Ontario
Penalties stopped from the following remittance onwards, and $143,000 of overpaid instalments was refunded.
Case Study 5 · Records and systems rebuilt
Month-End Close Cut From 12 Weeks To 7 Days — Multi-Processor Online Seller, Red Deer
Client: An online seller reconciling three payment processors · Where: Red Deer, Alberta · Engagement: 5 weeks, fixed fee
Close time before12 weeks
Close time after7 days
Year-endReview, not rebuild
The situation — An online seller reconciling three payment processors, Red Deer, Alberta
The accounting file at an online seller reconciling three payment processors in Red Deer, Alberta had a weak foundation. It was built on input tax credits claimed on receipts that had already been claimed once. The year-end had taken 12 weeks each of the last three years.
What we did for An online seller reconciling three payment processors, Red Deer, Alberta
We set up a documented chart of accounts, a receipt-capture workflow and a monthly reconciliation that closes within ten days of month-end. We also moved the reconciliations into the monthly cycle, so the year-end stopped being a rebuild.
The result — An online seller reconciling three payment processors, Red Deer, Alberta
The file reconciles. Month-end closes in 7 days instead of 12 weeks, and the year-end is a review rather than a reconstruction.
Case Study 6 · Deadline rescue
Filed On Time From A Standing Start, $122,000 Penalty Avoided — Seasonal Food-Truck Operator, Surrey
Client: A food-truck operator running two seasonal units · Where: Surrey, British Columbia · Engagement: 4 weeks, fixed fee
Penalty avoided$122,000
Turnaround4 weeks
FiledOn time
The situation — A food-truck operator running two seasonal units, Surrey, British Columbia
A food-truck operator running two seasonal units in Surrey, British Columbia came to us 4 weeks before its filing deadline. The file came with a receivables list that included invoices collected eleven months earlier. A late filing would have triggered a penalty of roughly $122,000 before interest.
What we did for A food-truck operator running two seasonal units, Surrey, British Columbia
We worked backwards from the deadline. We converted the foreign-currency purchases at transaction-date rates and recorded the exchange difference at settlement instead of burying it in cost of sales. We prioritised the items that actually gated the filing and deferred everything that did not.
The result — A food-truck operator running two seasonal units, Surrey, British Columbia
The return was filed on time and complete. The $122,000 penalty never arose, and the compliance calendar we set means the next deadline is scheduled rather than discovered.
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.
