6 worked Direct Deposit Payroll 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 direct deposit payroll work, not a specific client's file.
Case Study 1 · Scaling without breaking
Growth Handled Without A Missed Filing, $35,000 Freed — Home-Care Agency, Toronto
The situation — A home-care agency, Toronto, Ontario
A home-care agency in Toronto, Ontario was opening in a second province — different filing obligations, a different payroll regime, and an employee over-deducted for CPP and EI after being moved between two related payroll accounts mid-year already in the file.
What we did for A home-care agency, Toronto, Ontario
We filed the outstanding slips and summary and requested relief on the per-slip penalty with the reasons documented in writing 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 — A home-care agency, Toronto, Ontario
Growth was absorbed without a compliance failure. $35,000 of cash was released, and the monthly reporting now flags a problem while it is still small.
Case Study 2 · Missed incentive claimed
Incentive Review Recovered $117,000 Across 7 Open Years — Stock-Option Tech Team, Edmonton
Client: A growing tech team with stock options · Where: Edmonton, Alberta · Engagement: 3 weeks, fixed fee
Recovered$117,000
Open years claimed7
Ongoing trackingIn place
The situation — A growing tech team with stock options, Edmonton, Alberta
An incentive review at a growing tech team with stock options in Edmonton, Alberta started from a simple question: what has never been claimed? The answer ran to 7 years, driven by T4 slips filed weeks after the deadline with no relief request made on the per-slip penalty.
What we did for A growing tech team with stock options, Edmonton, Alberta
We reviewed each contractor against the CRA’s control and integration tests, converted those who met the employment tests, and priced the transition before it was forced by a ruling, documenting eligibility to the standard a reviewer would apply rather than the standard a claim form requires.
The result — A growing tech team with stock options, Edmonton, Alberta
The credits produced $117,000 across the open years, and the tracking now in place means the following year's claim is documented as the work happens rather than reconstructed afterwards.
Case Study 3 · Backlog brought current
6 Years Filed, $91,000 Removed From The Assessed Balance — Dental Practice, Surrey
Client: A dental practice · Where: Surrey, British Columbia · Engagement: 4 weeks, fixed fee
Years filed6
Assessed balance removed$91,000
CollectionsStopped
The situation — A dental practice, Surrey, British Columbia
A dental practice in Surrey, British Columbia had not filed for 6 years. The CRA had issued arbitrary assessments, and the business was carrying remittances still going out monthly after the business had moved to the accelerated threshold on top of a growing interest balance.
What we did for A dental practice, Surrey, British Columbia
We started with the oldest year and worked forward so each year's closing balances fed the next. We paid the accrued bonus inside the 179-day window and kept the deduction in the year it was accrued, filing the years in sequence rather than all at once.
The result — A dental practice, Surrey, British Columbia
Every year is now filed and assessed on actual figures. The notional assessments were vacated and $91,000 of the estimated balance came off, with a payment arrangement covering the rest.
Case Study 4 · Objection and relief
$130,000 Of Penalties And Interest Cancelled On Relief — Higher-Frequency Remitter, Burnaby
Client: An employer whose remittance frequency moved up a threshold · Where: Burnaby, British Columbia · Engagement: 6 weeks, fixed fee
Penalties and interest cancelled$130,000
Relief groundsAccepted
AssessmentAdjusted to filed position
The situation — An employer whose remittance frequency moved up a threshold, Burnaby, British Columbia
An assessment of $130,000 landed at an employer whose remittance frequency moved up a threshold in Burnaby, British Columbia following a desk review. The auditor had not seen the records behind long-term contractors who met every test for employment.
What we did for An employer whose remittance frequency moved up a threshold, Burnaby, British Columbia
We wrote each pay code against its income tax, CPP and EI treatment, so a new benefit could not reach the payroll without a decision on how it was withheld, then set out the legislative basis for the position alongside the documents supporting it.
The result — An employer whose remittance frequency moved up a threshold, Burnaby, British Columbia
$130,000 of penalties and interest was cancelled under the taxpayer relief provisions, and the underlying assessment was adjusted to match the filed position.
Case Study 5 · Records and systems rebuilt
Books Rebuilt From Source, $14,000 In Unclaimed Input Tax Found — Manufacturing Employer, Red Deer
Client: A 30-employee manufacturer · Where: Red Deer, Alberta · Engagement: 9 weeks, fixed fee
Unclaimed tax found$14,000
Records rebuilt18 months
ProcessDocumented
The situation — A 30-employee manufacturer, Red Deer, Alberta
A 30-employee manufacturer in Red Deer, Alberta could not answer basic questions about its own numbers, because company vehicles used personally with no logbook and no taxable benefit reported sat between the bank statements and the ledger.
What we did for A 30-employee manufacturer, Red Deer, Alberta
We reconstructed vehicle logbooks, calculated the standby charge and operating benefit properly, and amended the affected T4s, then documented the process so the work does not depend on any one person remembering how it was done.
The result — A 30-employee manufacturer, Red Deer, Alberta
Records rebuilt and reconciled, $14,000 recovered in input tax credits that the old file could not support, and a documented monthly process now in place.
Case Study 6 · Planning that cut the bill
Remuneration Review Saved $72,000 Across Corporate And Personal Returns — Mixed-Crew Construction Firm, Barrie
Client: A construction firm with union and non-union crews · Where: Barrie, Ontario · Engagement: 11 weeks, fixed fee
Combined saving$72,000
ScopeCorporate + personal
Future yearsNo rework needed
The situation — A construction firm with union and non-union crews, Barrie, Ontario
Nothing was wrong at a construction firm with union and non-union crews in Barrie, Ontario — the filings were on time and accurate. What they were not was planned. T4s that did not agree to the payroll register or the general ledger had never been reviewed.
What we did for A construction firm with union and non-union crews, Barrie, Ontario
We corrected the CPP and EI withholding for the balance of the year and set the employee up to recover the over-deduction on the personal return, 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 — A construction firm with union and non-union crews, Barrie, Ontario
$72,000 came off the combined corporate and personal tax bill, and the structure holds for future years without further work.
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.
