6 Professional Corporation Setup 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 professional corporation setup work, not a general example.
Case Study 1 · Deadline rescue
5-Week Turnaround Beat The Deadline And Saved $35,500 — E-Commerce Seller Incorporating Federally, Surrey
Client: An e-commerce seller incorporating federally · Where: Surrey, British Columbia · Engagement: 5 weeks, fixed fee
Late-filing penalty avoided$35,500
Filed with9 days to spare
Next yearPapers ready
The situation
With the deadline for professional corporation setup weeks away, an e-commerce seller incorporating federally in Surrey, British Columbia was carrying a corporation dissolved administratively for missed annual returns while still operating. The exposure if the date slipped was around $35,500.
What we did
We reconstructed the minute book with resolutions for each historical dividend and share transaction. The filing went in complete rather than provisional, so there was no amended return to follow.
The result
Filed with 9 days to spare. $35,500 in late-filing penalties avoided, and the working papers are ready for the following year.
Case Study 2 · Records and systems rebuilt
11 Months Reconciled And $16,000 Of Input Tax Recovered — Consultant Incorporating After Two, Winnipeg
Client: A consultant incorporating after two years of self-employment · Where: Winnipeg, Manitoba · Engagement: 4 weeks, fixed fee
Months reconciled11
Input tax recovered$16,000
Close time5 days
The situation
A consultant incorporating after two years of self-employment in Winnipeg, Manitoba was carrying a single class of common shares that made income splitting impossible. Nothing reconciled, and every filing started with 11 months of cleanup.
What we did
We rebuilt from source rather than correcting on top of the existing file. 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, then set the routine that keeps it clean.
The result
11 months reconciled to the bank. The close now takes 5 days, and $16,000 of previously unclaimable input tax was recovered in the process.
Case Study 3 · Cash and remittance control
$93,000 Of Working Capital Freed From The Tax Cycle — Family Business Adding a, Edmonton
Client: A family business adding a second class of shares · Where: Edmonton, Alberta · Engagement: 7 weeks, fixed fee
Working capital freed$93,000
On-time remittancesEvery period since
Forecast horizon13 weeks
The situation
A family business adding a second class of shares in Edmonton, Alberta was profitable on paper and short of cash every month. A December 31 year-end chosen by default that put the balance due at the worst point in the cash cycle explained most of the gap.
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 built a thirteen-week cash view so tax payments stopped competing with payroll for the same dollars.
The result
$93,000 was released back into working capital. Remittances have been on time every period since, and the forecast shows the tax outflow before it lands.
Case Study 4 · Planning that cut the bill
$24,000 Cut From The Annual Tax Bill — Founder Setting Up a, Vancouver
Client: A founder setting up a holding structure · Where: Vancouver, British Columbia · Engagement: 4 weeks, fixed fee
First-year saving$24,000
RepeatsAnnually
Filing positionUnchanged in risk
The situation
A founder setting up a holding structure in Vancouver, British Columbia was compliant but paying more than it needed to. The prior year had been filed correctly and still left GST/HST collected for eight months before the RT account was ever opened on the table.
What we did
We modelled the current position against the alternatives before changing anything, then restructured the share capital so dividends could be directed deliberately, respecting the TOSI rules.
The result
The change saved $24,000 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 5 · Scaling without breaking
Growth Handled Without A Missed Filing, $78,000 Freed — Contractor Incorporating for Liability, Toronto
Client: A contractor incorporating for liability reasons · Where: Toronto, Ontario · Engagement: 7 weeks, fixed fee
Cash freed$78,000
Compliance failuresNone
ReportingMonthly
The situation
A contractor incorporating for liability reasons in Toronto, Ontario was opening in a second province — different filing obligations, a different payroll regime, and dividends paid for three years with no directors’ resolutions behind them already in the file.
What we did
We reconstructed the minute book with resolutions for each historical dividend and share transaction 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. $78,000 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 3 Weeks, $28,000 Cleared — Professional Forming a Professional, Guelph
Client: A professional forming a professional corporation · Where: Guelph, Ontario · Engagement: 3 weeks, fixed fee
Proposed tax cleared$28,000
Review duration3 weeks
OutcomeNo change
The situation
A professional forming a professional corporation in Guelph, Ontario 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 professional corporation setup came to $28,000.
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. 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. $28,000 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.
