6 worked Medical Expense Tax Review 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 medical expense tax review work, not a specific client's file.
Case Study 1 · Missed incentive claimed
$122,000 Credit Claim Filed And Accepted Without Adjustment — Two-Income Landlord Household, Brampton
Client: A two-income household with rental property. Where: Brampton, Ontario. Engagement: 7 weeks, fixed fee.
Claim value$122,000
AcceptedWithout adjustment
RepeatableAnnually
Case 1: the situation
A two-income household with rental property in Brampton, Ontario assumed the credits did not apply to a business its size. Employment expenses claimed with no signed T2200 from the employer to support them meant they had applied all along.
Case 1: what we did
We identified the qualifying activity and built the documentation to support it. Then we filed the outstanding T1135 disclosures under the voluntary disclosure route before the CRA raised them.
Case 1: the result
$122,000 recovered. Because the eligibility analysis is on file, the same claim can be repeated each year with a fraction of the effort.
Case Study 2 · Scaling without breaking
Second-Province Expansion Handled, $98,000 Of Cash Released — Gig-Economy Driver, Moncton
Client: A gig-economy driver. Where: Moncton, New Brunswick. Engagement: 9 weeks, fixed fee.
Cash released$98,000
New registrationsComplete on day one
Compliance gapsNone
Case 2: the situation
Revenue at a gig-economy driver in Moncton, New Brunswick was up sharply and cash was tighter than ever. Underneath it sat a rental property reported without any capital cost allowance analysis.
Case 2: what we did
We pooled the carried-forward donation receipts onto the higher-income spouse’s return so the whole claim sat above the low-rate first tier. Every new obligation was set up before it was triggered, not after. That covered registration, remittance frequency and provincial filing.
Case 2: the result
$98,000 of cash was released from the working capital cycle. The expansion completed with every registration and filing obligation covered from day one.
Case Study 3 · CRA review defended
$19,000 Proposed Adjustment Withdrawn In Full — Mid-Year Interprovincial Mover, Calgary
Client: An employee who moved provinces mid-year. Where: Calgary, Alberta. Engagement: 4 weeks, fixed fee.
Adjustment withdrawn$19,000
File closed in4 weeks
Penalties assessedNone
Case 3: the situation
An employee who moved provinces mid-year in Calgary, Alberta received a proposal letter opening a review of medical expense tax review. The CRA had identified medical expenses claimed on a calendar-year basis when a shifted window was worth far more. It proposed an adjustment of $19,000, with 30 days to respond.
Case 3: what we did
We treated the response as an evidence exercise rather than an argument. We recalculated the instalments on the current year’s expected income rather than the prior year’s, which stopped the instalment interest from growing. We then indexed every supporting document against the specific line the auditor had questioned.
Case 3: the result
The proposed adjustment was withdrawn in full — all $19,000 of it. The file closed in 4 weeks with no change to the assessed amounts and no penalty.
Case Study 4 · Planning that cut the bill
$13,000 Saved By Correcting What Prior Filings Had Missed — First-Time Home Buyer, Hamilton
Client: A first-time home buyer. Where: Hamilton, Ontario. Engagement: 7 weeks, fixed fee.
Saving identified$13,000
RecurringYes
Positions documentedAll
Case 4: the situation
A first-time home buyer in Hamilton, Ontario asked for a second opinion on medical expense tax review. That followed three years of rising tax. The review found three years of returns filed without the slips that had been mailed to an old address.
Case 4: what we did
We built the comparison first: current structure against two alternatives. Then we reset the medical expense claim window, transferred credits between spouses, and applied the tuition and disability amounts to the return that used them.
Case 4: the result
First-year saving of $13,000, with the same benefit recurring. Every position taken is documented and supported in the file.
Case Study 5 · Records and systems rebuilt
Books Rebuilt From Source, $15,000 In Unclaimed Input Tax Found — Disability Amount Claimant, Regina
Client: A taxpayer claiming a dependant's transferred disability amount. Where: Regina, Saskatchewan. Engagement: 6 weeks, fixed fee.
Unclaimed tax found$15,000
Records rebuilt17 months
ProcessDocumented
Case 5: the situation
A taxpayer claiming a dependant's transferred disability amount in Regina, Saskatchewan could not answer basic questions about its own numbers. Employment expenses claimed with no signed T2200 from the employer to support them sat between the bank statements and the ledger.
Case 5: what we did
We reported the disposition and filed the principal residence designation for the year of sale, closing the late-designation exposure before the CRA raised it. We then documented the process so the work does not depend on any one person remembering how it was done.
Case 5: the result
Records rebuilt and reconciled, $15,000 recovered in input tax credits that the old file could not support, and a documented monthly process now in place.
Case Study 6 · Cash and remittance control
$101,000 Of Working Capital Freed From The Tax Cycle — Recently Separated Taxpayer, Barrie
A recently separated taxpayer in Barrie, Ontario was profitable on paper and short of cash every month. Years of small donation receipts claimed one at a time instead of pooled onto a single return explained most of the gap.
Case 6: what we did
We obtained the signed T2200 and rebuilt the employment-expense claim on the prescribed form with the supporting records attached to the file. We also built a thirteen-week cash view so tax payments stopped competing with payroll for the same dollars.
Case 6: the result
$101,000 was released back into working capital. Remittances have been on time every period since, and the forecast shows the tax outflow before it lands.
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.
