6 Partnership Tax Filing Services 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 partnership tax filing services work, not a general example.
Case Study 1 · Records and systems rebuilt
Books Rebuilt From Source, $14,000 In Unclaimed Input Tax Found — Food-Truck Sole Proprietorship, Kitchener
Client: A food-truck sole proprietorship · Where: Kitchener, Ontario · Engagement: 4 weeks, fixed fee
Unclaimed tax found$14,000
Records rebuilt33 months
ProcessDocumented
The situation
A food-truck sole proprietorship in Kitchener, Ontario could not answer basic questions about its own numbers, because a partnership that crossed the T5013 threshold two years before anyone noticed sat between the bank statements and the ledger.
What we did
We restructured the draw policy so no partner’s adjusted cost base went negative again, and reported the deemed gain correctly for the year it arose, then documented the process so the work does not depend on any one person remembering how it was done.
The result
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 2 · Missed incentive claimed
$142,000 Credit Claim Filed And Accepted Without Adjustment — Two-Partner Architecture Practice, Brampton
Client: A two-partner architecture practice · Where: Brampton, Ontario · Engagement: 9 weeks, fixed fee
Claim value$142,000
AcceptedWithout adjustment
RepeatableAnnually
The situation
A two-partner architecture practice in Brampton, Ontario assumed the credits did not apply to a business its size. Partner draws that had pushed one partner’s adjusted cost base negative meant they had applied all along.
What we did
We identified the qualifying activity, built the documentation to support it, and rewrote the partnership allocation to match how the practice actually operated, effective for the following fiscal year.
The result
$142,000 recovered. Because the eligibility analysis is on file, the same claim can be repeated each year with a fraction of the effort.
Case Study 3 · Deadline rescue
8-Week Turnaround Beat The Deadline And Saved $33,500 — Husband-And-Wife Retail Partnership, London
With the deadline for partnership tax filing services weeks away, a husband-and-wife retail partnership in London, Ontario was carrying an incorporation completed without the section 85 election, triggering an unnecessary gain. The exposure if the date slipped was around $33,500.
What we did
We filed the section 85 election with correct elected amounts and rolled the assets in without a taxable disposition. The filing went in complete rather than provisional, so there was no amended return to follow.
The result
Filed with 16 days to spare. $33,500 in late-filing penalties avoided, and the working papers are ready for the following year.
Case Study 4 · CRA review defended
Audit Defence Closed In 10 Weeks, $51,000 Cleared — Sole Proprietor Consultant, Halifax
Client: A sole proprietor consultant · Where: Halifax, Nova Scotia · Engagement: 10 weeks, fixed fee
Proposed tax cleared$51,000
Review duration10 weeks
OutcomeNo change
The situation
A sole proprietor consultant in Halifax, Nova Scotia was selected for review after partner draws that had pushed one partner’s adjusted cost base negative showed up in the CRA's automated matching. The proposed adjustment on partnership tax filing services came to $51,000.
What we did
We filed the outstanding T5013 returns with full partner allocations and requested penalty relief on the basis of the first-time nature of the failure. 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. $51,000 of proposed tax came off the table, and the documentation now in place makes the next review a short one.
Case Study 5 · Objection and relief
Notice Of Objection Allowed In Full, $93,000 Reversed — Three-Partner Medical Clinic, Hamilton
Client: A three-partner medical clinic · Where: Hamilton, Ontario · Engagement: 5 weeks, fixed fee
Amount reversed$93,000
ObjectionAllowed in full
Account balanceNil
The situation
A three-partner medical clinic in Hamilton, Ontario had been reassessed for $93,000 and had 8 days left on the objection deadline. The reassessment rested on business income reported entirely on one spouse’s return despite shared operations.
What we did
We filed the objection inside the deadline with a complete submission rather than a placeholder, and restructured the draw policy so no partner’s adjusted cost base went negative again, and reported the deemed gain correctly for the year it arose.
The result
The appeals officer allowed the objection in full. $93,000 was reversed and the account returned to a nil balance.
Case Study 6 · Scaling without breaking
Scaled To 23 Staff With $118,000 Of Working Capital Freed — Farming Partnership, Ottawa
A farming partnership in Ottawa, Ontario was growing fast — headcount to 23 in eighteen months — and the back office had not kept up. A partnership that crossed the T5013 threshold two years before anyone noticed was the first thing to break.
What we did
We rewrote the partnership allocation to match how the practice actually operated, effective for the following fiscal year, and built the compliance calendar for the size the business was becoming rather than the size it had been.
The result
The business reached 23 staff with no missed remittance and no late filing. $118,000 of working capital was freed in the process.
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.
