6 Ontario Incorporation 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 ontario incorporation work, not a general example.
Case Study 1 · Deadline rescue
$25,500 Late-Filing Penalty Cancelled On Relief Application — E-Commerce Seller Incorporating Federally, Vancouver
Client: An e-commerce seller incorporating federally · Where: Vancouver, British Columbia · Engagement: 3 weeks, fixed fee
Penalty cancelled$25,500
Relief applicationGranted
ReturnAccepted as filed
The situation
An e-commerce seller incorporating federally in Vancouver, British Columbia had already missed one deadline and was about to miss a second. Behind it sat a corporation dissolved administratively for missed annual returns while still operating, and a penalty of $25,500 was accruing.
What we did
We split the work into what had to happen before the deadline and what could follow it, then revived the corporation, filed the outstanding annual returns, and set a compliance calendar covering both the corporate registry and the CRA.
The result
The outstanding return was accepted as filed, and the taxpayer relief application cancelled $25,500 of the penalty already assessed on the earlier year.
Case Study 2 · Records and systems rebuilt
Month-End Close Cut From 12 Weeks To 6 Days — Trades Business Incorporating Provincially, Ottawa
Client: A trades business incorporating provincially · Where: Ottawa, Ontario · Engagement: 3 weeks, fixed fee
Close time before12 weeks
Close time after6 days
Year-endReview, not rebuild
The situation
The accounting file at a trades business incorporating provincially in Ottawa, Ontario was built on a December 31 year-end chosen by default that put the balance due at the worst point in the cash cycle. The year-end had taken 12 weeks each of the last three years.
What we did
We restructured the share capital so dividends could be directed deliberately, respecting the TOSI rules and moved the reconciliations into the monthly cycle, so the year-end stopped being a rebuild.
The result
The file reconciles. Month-end closes in 6 days instead of 12 weeks, and the year-end is a review rather than a reconstruction.
Case Study 3 · Cash and remittance control
Instalments Rebased, $50,000 Of Cash Returned To The Business — Founder Setting Up a, Surrey
Client: A founder setting up a holding structure · Where: Surrey, British Columbia · Engagement: 10 weeks, fixed fee
Cash returned$50,000
Instalment basisCurrent year
ReviewedQuarterly
The situation
A founder setting up a holding structure in Surrey, British Columbia was paying instalments calculated on a prior year that no longer reflected the business. Dividends paid for three years with no directors’ resolutions behind them was tying up $50,000 of cash.
What we did
We rebased the instalments on the current-year estimate rather than the prior-year default, and reconstructed the minute book with resolutions for each historical dividend and share transaction.
The result
$50,000 of cash stayed in the business, the penalty cycle ended, and the instalment position is reviewed each quarter against actual results.
Case Study 4 · Planning that cut the bill
Remuneration Review Saved $27,000 Across Corporate And Personal Returns — Partnership Converting to a, London
Client: A partnership converting to a corporation · Where: London, Ontario · Engagement: 3 weeks, fixed fee
Combined saving$27,000
ScopeCorporate + personal
Future yearsNo rework needed
The situation
Nothing was wrong at a partnership converting to a corporation in London, Ontario — the filings were on time and accurate. What they were not was planned. A single class of common shares that made income splitting impossible had never been reviewed.
What we did
We selected a year-end that put the balance-due date after the seasonal cash peak, then registered every program account the business actually needed, 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
$27,000 came off the combined corporate and personal tax bill, and the structure holds for future years without further work.
Case Study 5 · Scaling without breaking
Growth Handled Without A Missed Filing, $133,000 Freed — Consultant Incorporating After Two, Regina
Client: A consultant incorporating after two years of self-employment · Where: Regina, Saskatchewan · Engagement: 3 weeks, fixed fee
Cash freed$133,000
Compliance failuresNone
ReportingMonthly
The situation
A consultant incorporating after two years of self-employment in Regina, Saskatchewan was opening in a second province — different filing obligations, a different payroll regime, and GST/HST collected for eight months before the RT account was ever opened already in the file.
What we did
We revived the corporation, filed the outstanding annual returns, and set a compliance calendar covering both the corporate registry and the CRA 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. $133,000 of cash was released, and the monthly reporting now flags a problem while it is still small.
Case Study 6 · CRA review defended
Audit Defence Closed In 10 Weeks, $138,000 Cleared — Corporation Reviving After Administrative, Victoria
Client: A corporation reviving after administrative dissolution · Where: Victoria, British Columbia · Engagement: 10 weeks, fixed fee
Proposed tax cleared$138,000
Review duration10 weeks
OutcomeNo change
The situation
A corporation reviving after administrative dissolution in Victoria, British Columbia was selected for review after a corporation dissolved administratively for missed annual returns while still operating showed up in the CRA's automated matching. The proposed adjustment on ontario incorporation came to $138,000.
What we did
We restructured the share capital so dividends could be directed deliberately, respecting the TOSI rules. Every figure in the response traced to a source record the auditor could verify without asking a second question.
The result
The review closed with no change. $138,000 of proposed tax came off the table, and the documentation now in place makes the next review a short one.
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.
