6 worked Expense Tracking 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 expense tracking work, not a specific client's file.
Case Study 1 · CRA review defended
Audit Defence Closed In 9 Weeks, $115,000 Cleared — Small Law Practice, Saskatoon
Client: A small law practice · Where: Saskatoon, Saskatchewan · Engagement: 9 weeks, fixed fee
Proposed tax cleared$115,000
Review duration9 weeks
OutcomeNo change
The situation — A small law practice, Saskatoon, Saskatchewan
A small law practice in Saskatoon, Saskatchewan was selected for review after eighteen months of unreconciled transactions and a shoebox of receipts showed up in the CRA's automated matching. The proposed adjustment on expense tracking came to $115,000.
What we did for A small law practice, Saskatoon, Saskatchewan
We rebuilt the ledger from bank and card statements, matched every receipt to a transaction, and removed duplicated input tax credits before they became a review. Every figure in the response traced to a source record the auditor could verify without asking a second question.
The result — A small law practice, Saskatoon, Saskatchewan
The review closed with no change. $115,000 of proposed tax came off the table, and the documentation now in place makes the next review a short one.
Case Study 2 · Deadline rescue
Filed On Time From A Standing Start, $57,000 Penalty Avoided — Subscription Box Retailer, Vancouver
Client: A subscription box retailer · Where: Vancouver, British Columbia · Engagement: 4 weeks, fixed fee
Penalty avoided$57,000
Turnaround4 weeks
FiledOn time
The situation — A subscription box retailer, Vancouver, British Columbia
A subscription box retailer in Vancouver, British Columbia came to us 4 weeks before its filing deadline with three years of returns filed off numbers nobody could trace back to a bank statement. A late filing would have triggered a penalty of roughly $57,000 before interest.
What we did for A subscription box retailer, Vancouver, British Columbia
We worked backwards from the deadline. 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, prioritising the items that actually gated the filing and deferring everything that did not.
The result — A subscription box retailer, Vancouver, British Columbia
The return was filed on time and complete. The $57,000 penalty never arose, and the compliance calendar we set means the next deadline is scheduled rather than discovered.
Case Study 3 · Missed incentive claimed
$106,000 In Credits Claimed That Prior Filings Had Missed — Two-Location Cafe, Windsor
The situation — A two-location cafe, Windsor, Ontario
A two-location cafe in Windsor, Ontario had been filing for 5 years without ever claiming the incentives its activity qualified for. Behind that sat a bookkeeping file where owner draws, payroll and supplier payments all landed in the same account.
What we did for A two-location cafe, Windsor, Ontario
We tested each activity against the eligibility criteria rather than the description on the invoice, then separated the owner’s personal spending out of the corporate accounts and cleared the resulting shareholder loan properly.
The result — A two-location cafe, Windsor, Ontario
$106,000 in credits claimed, with the open prior years adjusted as well. The claim passed review without adjustment.
Case Study 4 · Records and systems rebuilt
Books Rebuilt From Source, $19,000 In Unclaimed Input Tax Found — Courier Subcontractor, London
Client: A courier subcontractor paid by the drop · Where: London, Ontario · Engagement: 6 weeks, fixed fee
Unclaimed tax found$19,000
Records rebuilt21 months
ProcessDocumented
The situation — A courier subcontractor paid by the drop, London, Ontario
A courier subcontractor paid by the drop in London, Ontario could not answer basic questions about its own numbers, because input tax credits claimed on receipts that had already been claimed once sat between the bank statements and the ledger.
What we did for A courier subcontractor paid by the drop, London, Ontario
We cleared the payroll and sales tax clearing accounts every month and tied each remittance to the liability it settled, then documented the process so the work does not depend on any one person remembering how it was done.
The result — A courier subcontractor paid by the drop, London, Ontario
Records rebuilt and reconciled, $19,000 recovered in input tax credits that the old file could not support, and a documented monthly process now in place.
Case Study 5 · Sale and succession
Share Sale Restructured, $425,000 Less Tax On Closing — Seasonal Food-Truck Operator, Mississauga
Client: A food-truck operator running two seasonal units · Where: Mississauga, Ontario · Engagement: 4 weeks, fixed fee
Tax saved on closing$425,000
PriceAs agreed
Post-closing adjustmentsNone
The situation — A food-truck operator running two seasonal units, Mississauga, Ontario
A food-truck operator running two seasonal units in Mississauga, Ontario was preparing to sell. Due diligence surfaced a shareholder loan balance that would have been picked up as income on closing, which would have reduced the price or killed the deal outright.
What we did for A food-truck operator running two seasonal units, Mississauga, Ontario
We cleaned up the historical file, rebuilt sales from the processor settlement reports so gross sales, fees and refunds each landed in an account of their own, and prepared the due-diligence package the buyer's advisers actually asked for.
The result — A food-truck operator running two seasonal units, Mississauga, Ontario
The deal closed at the agreed price. $425,000 of tax was saved against the structure originally proposed, with no post-closing adjustment.
Client: A specialty coffee roaster · Where: Moncton, New Brunswick · Engagement: 3 weeks, fixed fee
Overpayment refunded$18,000
Late remittances sinceZero
ScheduleAutomated
The situation — A specialty coffee roaster, Moncton, New Brunswick
Remittances at a specialty coffee roaster in Moncton, New Brunswick were consistently late by a few days, which was enough to trigger penalties every quarter. Behind it sat a payroll clearing account that had never been brought to zero, carrying a balance nobody could explain.
What we did for A specialty coffee roaster, Moncton, New Brunswick
We set up a documented chart of accounts, a receipt-capture workflow and a monthly reconciliation that closes within ten days of month-end, then moved the remittance dates into a scheduled process rather than a monthly decision.
The result — A specialty coffee roaster, Moncton, New Brunswick
Penalties stopped from the following remittance onwards, and $18,000 of overpaid instalments was refunded.
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.
