6 worked GST/HST Rebate Application 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 gst/hst rebate application work, not a specific client's file.
Case Study 1 · Deadline rescue
Filed On Time From A Standing Start, $104,000 Penalty Avoided — Digital Platform Seller, Ottawa
Client: A platform seller collecting tax at checkout. Where: Ottawa, Ontario. Engagement: 5 weeks, fixed fee.
Penalty avoided$104,000
Turnaround5 weeks
FiledOn time
Case 1: the situation
A platform seller collecting tax at checkout in Ottawa, Ontario came to us 5 weeks before its filing deadline. The file came with export sales zero-rated with no shipping documentation behind them. A late filing would have triggered a penalty of roughly $104,000 before interest.
Case 1: what we did
We worked backwards from the deadline. We assembled the export documentation, restored zero-rating on the qualifying sales, and reduced the proposed assessment. We prioritised the items that actually gated the filing and deferred everything that did not.
Case 1: the result
The return was filed on time and complete. The $104,000 penalty never arose, and the compliance calendar we set means the next deadline is scheduled rather than discovered.
Case Study 2 · Structure rebuilt
Corporate Structure Rebuilt For $41,000 Of Annual Savings — US-Bound Exporter, Saskatoon
Client: A manufacturer exporting to the US. Where: Saskatoon, Saskatchewan. Engagement: 8 weeks, fixed fee.
Saving per year$41,000
DocumentationComplete
Transfer basisRollover
Case 2: the situation
The structure at a manufacturer exporting to the US in Saskatoon, Saskatchewan dated from years earlier. It had been set up for a business that no longer existed. HST charged at the home-province rate on sales into four different provinces had become expensive.
Case 2: what we did
We set a defensible input tax credit allocation between taxable and exempt supplies and documented the method for future filings. The reorganisation used the rollover provisions rather than a taxable transfer, so no tax fell due on the restructuring itself.
Case 2: the result
$41,000 of annual saving, achieved on a tax-deferred basis. The minute book, elections and valuations are all in the file.
Case Study 3 · Sale and succession
Share Sale Restructured, $740,000 Less Tax On Closing — Wholesale Food Distributor, Kitchener
A wholesale food distributor in Kitchener, Ontario was preparing to sell. Due diligence surfaced retained cash well above what the business needed to operate. That would have reduced the price or killed the deal outright.
Case 3: what we did
We cleaned up the historical file. We backdated the registration to the date the business stopped being a small supplier, remitted the tax owing, and applied for relief on the penalty portion. Then we prepared the due-diligence package the buyer's advisers actually asked for.
Case 3: the result
The deal closed at the agreed price. $740,000 of tax was saved against the structure originally proposed, with no post-closing adjustment.
Case Study 4 · CRA review defended
$131,000 Reassessment Reduced To Nil On Review — Exempt-Supply Clinic, Barrie
Client: A health clinic making exempt supplies. Where: Barrie, Ontario. Engagement: 5 weeks, fixed fee.
Reassessment reduced toNil
Tax protected$131,000
Prior filingsUndisturbed
Case 4: the situation
A review notice arrived at a health clinic making exempt supplies in Barrie, Ontario, covering GST/HST rebate application for two tax years. The auditor's working position was an adjustment of $131,000. It was driven by input tax credits claimed on the exempt side of a mixed-supply business.
Case 4: what we did
Rather than negotiate, we rebuilt the record. We rebuilt the sales ledger by customer province and applied the correct place-of-supply rate to each stream. We filed corrected returns before the CRA opened a review. We then submitted a point-by-point response that answered each proposed adjustment with the document behind it.
Case 4: the result
The auditor accepted the documented position and closed the review without adjustment, protecting $131,000 and leaving the prior filings undisturbed.
Case Study 5 · Planning that cut the bill
$63,000 Saved By Correcting What Prior Filings Had Missed — Freight Brokerage, Calgary
A freight brokerage in Calgary, Alberta asked for a second opinion on GST/HST rebate application. That followed three years of rising tax. The review found nil periods left unfiled, which held up the refund on the one period that mattered.
Case 5: what we did
We built the comparison first: current structure against two alternatives. Then we tested the quick method against the account’s actual input tax credit history and stayed on the regular method where the credits were worth more.
Case 5: the result
First-year saving of $63,000, with the same benefit recurring. Every position taken is documented and supported in the file.
Case Study 6 · Records and systems rebuilt
Books Rebuilt From Source, $16,500 In Unclaimed Input Tax Found — Cross-Border SaaS Company, Winnipeg
Client: A SaaS company with Canadian and US customers. Where: Winnipeg, Manitoba. Engagement: 6 weeks, fixed fee.
Unclaimed tax found$16,500
Records rebuilt14 months
ProcessDocumented
Case 6: the situation
A SaaS company with Canadian and US customers in Winnipeg, Manitoba could not answer basic questions about its own numbers. A sales tax account filed annually while the CRA had moved the business to quarterly sat between the bank statements and the ledger.
Case 6: what we did
We brought the nil and missing periods current so the account was clean before the refund claim was filed. We then documented the process so the work does not depend on any one person remembering how it was done.
Case 6: the result
Records rebuilt and reconciled, $16,500 recovered in input tax credits that the old file could not support, and a documented monthly process now in place.
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.
