6 Digital Media Tax Credits tax and accounting engagements in full — what the client came to us with, what we did, and what it was worth. Each one is specific to digital media tax credits work, not a general example.
Case Study 1 · Backlog brought current
6 Years Filed, $15,500 Removed From The Assessed Balance — Game Studio Claiming Digital, Burnaby
Client: A game studio claiming digital media credits · Where: Burnaby, British Columbia · Engagement: 11 weeks, fixed fee
Years filed6
Assessed balance removed$15,500
CollectionsStopped
The situation
A game studio claiming digital media credits in Burnaby, British Columbia had not filed for 6 years. The CRA had issued arbitrary assessments, and the business was carrying a claim filed at the 15% non-refundable rate when CCPC status supported 35% refundable on top of a growing interest balance.
What we did
We started with the oldest year and worked forward so each year's closing balances fed the next. We confirmed CCPC status and refiled at the enhanced 35% refundable rate, filing the years in sequence rather than all at once.
The result
Every year is now filed and assessed on actual figures. The notional assessments were vacated and $15,500 of the estimated balance came off, with a payment arrangement covering the rest.
Case Study 2 · Scaling without breaking
Growth Handled Without A Missed Filing, $71,000 Freed — Software Company Building a, Kitchener
Client: A software company building a new platform · Where: Kitchener, Ontario · Engagement: 9 weeks, fixed fee
Cash freed$71,000
Compliance failuresNone
ReportingMonthly
The situation
A software company building a new platform in Kitchener, Ontario was opening in a second province — different filing obligations, a different payroll regime, and eligible development work never claimed because nobody thought it counted as research already in the file.
What we did
We layered the applicable provincial credit onto the federal claim in the same filing and put monthly reporting in place so the owner could see the cash effect of growth while there was still time to act on it.
The result
Growth was absorbed without a compliance failure. $71,000 of cash was released, and the monthly reporting now flags a problem while it is still small.
Case Study 3 · Deadline rescue
8-Week Turnaround Beat The Deadline And Saved $22,000 — Clean-Technology Startup, Windsor
With the deadline for digital media tax credits weeks away, a clean-technology startup in Windsor, Ontario was carrying a provincial credit left unclaimed alongside a successful federal SR&ED claim. The exposure if the date slipped was around $22,000.
What we did
We identified the eligible projects, documented the technological uncertainty and systematic investigation for each, and filed a claim that survived review without adjustment. The filing went in complete rather than provisional, so there was no amended return to follow.
The result
Filed with 7 days to spare. $22,000 in late-filing penalties avoided, and the working papers are ready for the following year.
Case Study 4 · Sale and succession
$750,000 Sheltered By The Lifetime Capital Gains Exemption — Materials Science Company, Kelowna
Client: A materials science company · Where: Kelowna, British Columbia · Engagement: 5 weeks, fixed fee
Gain sheltered$750,000
ClosingOn schedule
Share qualificationMet
The situation
A materials science company in Kelowna, British Columbia had an offer on the table and 9 months to close. The shares did not qualify for the capital gains exemption, and retained cash well above what the business needed to operate was part of the reason.
What we did
We purified the corporation so the shares met the qualifying tests, then put contemporaneous tracking in place — project logs tied to time records — so the following year’s claim was defensible by construction well ahead of the closing date.
The result
The sale closed on schedule with $750,000 sheltered by the lifetime capital gains exemption across the shareholders.
Case Study 5 · Planning that cut the bill
Remuneration Review Saved $73,000 Across Corporate And Personal Returns — Food Producer Reformulating Its, Toronto
Client: A food producer reformulating its product line · Where: Toronto, Ontario · Engagement: 6 weeks, fixed fee
Combined saving$73,000
ScopeCorporate + personal
Future yearsNo rework needed
The situation
Nothing was wrong at a food producer reformulating its product line in Toronto, Ontario — the filings were on time and accurate. What they were not was planned. A filing deadline missed by three weeks, extinguishing the entire claim had never been reviewed.
What we did
We confirmed CCPC status and refiled at the enhanced 35% refundable rate, and 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
$73,000 came off the combined corporate and personal tax bill, and the structure holds for future years without further work.
Case Study 6 · Objection and relief
$75,000 Of Penalties And Interest Cancelled On Relief — Agri-Tech Company, Mississauga
Client: An agri-tech company · Where: Mississauga, Ontario · Engagement: 5 weeks, fixed fee
Penalties and interest cancelled$75,000
Relief groundsAccepted
AssessmentAdjusted to filed position
The situation
An assessment of $75,000 landed at an agri-tech company in Mississauga, Ontario following a desk review. The auditor had not seen the records behind a claim filed at the 15% non-refundable rate when CCPC status supported 35% refundable.
What we did
We layered the applicable provincial credit onto the federal claim in the same filing, then set out the legislative basis for the position alongside the documents supporting it.
The result
$75,000 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, Certified Tax Accountant. Figures describe representative engagements of this type; outcomes depend on your own facts. Client names and identifying details are omitted for confidentiality.
