6 worked Pre-Assessment Review Assistance 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 pre-assessment review assistance work, not a specific client's file.
Case Study 1 · Objection and relief
Notice Of Objection Allowed In Full, $119,000 Reversed — Restaurant Under Net-Worth Audit, Saskatoon
Client: A restaurant under a net-worth audit · Where: Saskatoon, Saskatchewan · Engagement: 4 weeks, fixed fee
Amount reversed$119,000
ObjectionAllowed in full
Account balanceNil
The situation — A restaurant under a net-worth audit, Saskatoon, Saskatchewan
A restaurant under a net-worth audit in Saskatoon, Saskatchewan had been reassessed for $119,000. 16 days were left on the objection deadline. The reassessment rested on a proposal letter with a 30-day response window and no supporting records assembled.
What we did for A restaurant under a net-worth audit, Saskatoon, Saskatchewan
We filed the objection inside the deadline with a complete submission rather than a placeholder. Alongside it, we assembled the contemporaneous records, filed a structured response to each proposed adjustment with the supporting documents indexed, and had the proposal withdrawn.
The result — A restaurant under a net-worth audit, Saskatoon, Saskatchewan
The appeals officer allowed the objection in full. $119,000 was reversed and the account returned to a nil balance.
Case Study 2 · Deadline rescue
$53,000 Late-Filing Penalty Cancelled On Relief Application — Contractor Facing Reassessment, Victoria
Client: A contractor facing a proposed reassessment · Where: Victoria, British Columbia · Engagement: 6 weeks, fixed fee
Penalty cancelled$53,000
Relief applicationGranted
ReturnAccepted as filed
The situation — A contractor facing a proposed reassessment, Victoria, British Columbia
A contractor facing a proposed reassessment in Victoria, British Columbia had already missed one deadline and was about to miss a second. Behind it sat an audit conducted over the phone, with nothing on file showing what had been provided or when. A penalty of $53,000 was accruing.
What we did for A contractor facing a proposed reassessment, Victoria, British Columbia
We split the work into what had to happen before the deadline and what could follow it. Then we brought every outstanding return current, then negotiated a payment arrangement that stopped the collections action.
The result — A contractor facing a proposed reassessment, Victoria, British Columbia
The outstanding return was accepted as filed, and the taxpayer relief application cancelled $53,000 of the penalty already assessed on the earlier year.
Case Study 3 · Records and systems rebuilt
28 Months Reconciled And $14,000 Of Input Tax Recovered — Long-Term Non-Filer, Toronto
Client: A taxpayer with eight years of unfiled returns · Where: Toronto, Ontario · Engagement: 8 weeks, fixed fee
Months reconciled28
Input tax recovered$14,000
Close time9 days
The situation — A taxpayer with eight years of unfiled returns, Toronto, Ontario
Nothing reconciled at a taxpayer with eight years of unfiled returns in Toronto, Ontario. Every filing started with 28 months of cleanup. The file was carrying an objection deadline that had passed with no extension applied for.
What we did for A taxpayer with eight years of unfiled returns, Toronto, Ontario
We rebuilt from source rather than correcting on top of the existing file. We traced each unexplained deposit to its source — loans, transfers between accounts, an insurance settlement — and reduced the net-worth assessment accordingly. Then we set the routine that keeps it clean.
The result — A taxpayer with eight years of unfiled returns, Toronto, Ontario
28 months reconciled to the bank. The close now takes 9 days, and $14,000 of previously unclaimable input tax was recovered in the process.
Case Study 4 · Cash and remittance control
Remittance Schedule Corrected, $26,000 Refunded — Corporation Under GST/HST Review, Hamilton
Client: A corporation under a GST/HST review · Where: Hamilton, Ontario · Engagement: 6 weeks, fixed fee
Overpayment refunded$26,000
Late remittances sinceZero
ScheduleAutomated
The situation — A corporation under a GST/HST review, Hamilton, Ontario
Remittances at a corporation under a GST/HST review in Hamilton, Ontario were consistently late by a few days. That was enough to trigger penalties every quarter. Behind it sat a net-worth assessment built on unexplained deposits that were actually loan proceeds.
What we did for A corporation under a GST/HST review, Hamilton, Ontario
We filed the disclosure through the Voluntary Disclosures Program before contact, which removed the gross-negligence penalty entirely. Then we moved the remittance dates into a scheduled process rather than a monthly decision.
The result — A corporation under a GST/HST review, Hamilton, Ontario
Penalties stopped from the following remittance onwards, and $26,000 of overpaid instalments was refunded.
Case Study 5 · Planning that cut the bill
$40,000 Cut From The Annual Tax Bill — Director Facing Assessment, Regina
Client: A business owner with a director liability assessment · Where: Regina, Saskatchewan · Engagement: 8 weeks, fixed fee
First-year saving$40,000
RepeatsAnnually
Filing positionUnchanged in risk
The situation — A business owner with a director liability assessment, Regina, Saskatchewan
A business owner with a director liability assessment in Regina, Saskatchewan was compliant but paying more than it needed to. The prior year had been filed correctly. It still left six years of unfiled corporate and personal returns and an active collections file on the table.
What we did for A business owner with a director liability assessment, Regina, Saskatchewan
We modelled the current position against the alternatives before changing anything. Then we answered each query in writing with an indexed document package, so the file showed exactly what the auditor had received and on what date.
The result — A business owner with a director liability assessment, Regina, Saskatchewan
The change saved $40,000 in the first year and repeats annually. Nothing about the filings became more aggressive. The position is simply the one the rules already allowed.
Case Study 6 · Scaling without breaking
Scaled To 75 Staff With $46,000 Of Working Capital Freed — Professional Under Lifestyle Audit, Kelowna
Client: A professional under a lifestyle audit · Where: Kelowna, British Columbia · Engagement: 7 weeks, fixed fee
Headcount reached75
Working capital freed$46,000
Missed deadlinesZero
The situation — A professional under a lifestyle audit, Kelowna, British Columbia
A professional under a lifestyle audit in Kelowna, British Columbia was growing fast, with headcount reaching 75 in eighteen months. The back office had not kept up. A confirmation letter left in a drawer until the appeal window had closed was the first thing to break.
What we did for A professional under a lifestyle audit, Kelowna, British Columbia
We kept the waiver narrowed to the issue actually under review and let the remaining years close on the normal reassessment period. We built the compliance calendar for the size the business was becoming rather than the size it had been.
The result — A professional under a lifestyle audit, Kelowna, British Columbia
The business reached 75 staff with no missed remittance and no late filing. $46,000 of working capital was freed in the process.
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.
