6 worked T4 and T4A Amendment 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 t4 and t4a amendment work, not a specific client's file.
Case Study 1 · Scaling without breaking
Growth Handled Without A Missed Filing, $77,000 Freed — Home-Care Agency, Vancouver
Client: A home-care agency · Where: Vancouver, British Columbia · Engagement: 6 weeks, fixed fee
Cash freed$77,000
Compliance failuresNone
ReportingMonthly
The situation — A home-care agency, Vancouver, British Columbia
A home-care agency in Vancouver, British Columbia was opening in a second province — different filing obligations, a different payroll regime, and remittances still going out monthly after the business had moved to the accelerated threshold already in the file.
What we did for A home-care agency, Vancouver, British Columbia
We moved the account to the correct remitter frequency, caught up the arrears, and filed a taxpayer relief request that cancelled the bulk of the penalty 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 — A home-care agency, Vancouver, British Columbia
Growth was absorbed without a compliance failure. $77,000 of cash was released, and the monthly reporting now flags a problem while it is still small.
Case Study 2 · Objection and relief
$135,000 Of Penalties And Interest Cancelled On Relief — Part-Time Program Employer, Kitchener
Client: A charity with part-time program staff · Where: Kitchener, Ontario · Engagement: 5 weeks, fixed fee
Penalties and interest cancelled$135,000
Relief groundsAccepted
AssessmentAdjusted to filed position
The situation — A charity with part-time program staff, Kitchener, Ontario
An assessment of $135,000 landed at a charity with part-time program staff in Kitchener, Ontario following a desk review. The auditor had not seen the records behind long-term contractors who met every test for employment.
What we did for A charity with part-time program staff, Kitchener, Ontario
We reconciled the payroll register, general ledger and T4 summary to the cent, then filed the amended slips, then set out the legislative basis for the position alongside the documents supporting it.
The result — A charity with part-time program staff, Kitchener, Ontario
$135,000 of penalties and interest was cancelled under the taxpayer relief provisions, and the underlying assessment was adjusted to match the filed position.
Case Study 3 · CRA review defended
$93,000 Proposed Adjustment Withdrawn In Full — Contractor-Paid Clinic, Edmonton
Client: A clinic paying its associates as contractors · Where: Edmonton, Alberta · Engagement: 8 weeks, fixed fee
Adjustment withdrawn$93,000
File closed in8 weeks
Penalties assessedNone
The situation — A clinic paying its associates as contractors, Edmonton, Alberta
A clinic paying its associates as contractors in Edmonton, Alberta received a proposal letter opening a review of t4 and t4a amendment. The CRA had identified company vehicles used personally with no logbook and no taxable benefit reported and proposed an adjustment of $93,000, with 30 days to respond.
What we did for A clinic paying its associates as contractors, Edmonton, Alberta
We treated the response as an evidence exercise rather than an argument. We filed the outstanding slips and summary and requested relief on the per-slip penalty with the reasons documented in writing, then indexed every supporting document against the specific line the auditor had questioned.
The result — A clinic paying its associates as contractors, Edmonton, Alberta
The proposed adjustment was withdrawn in full — all $93,000 of it. The file closed in 8 weeks with no change to the assessed amounts and no penalty.
Case Study 4 · Deadline rescue
3-Week Turnaround Beat The Deadline And Saved $65,000 — Seasonal Landscaping Employer, Victoria
Client: A landscaping company with seasonal staff · Where: Victoria, British Columbia · Engagement: 3 weeks, fixed fee
Late-filing penalty avoided$65,000
Filed with14 days to spare
Next yearPapers ready
The situation — A landscaping company with seasonal staff, Victoria, British Columbia
With the deadline for t4 and t4a amendment weeks away, a landscaping company with seasonal staff in Victoria, British Columbia was carrying T4s that did not agree to the payroll register or the general ledger. The exposure if the date slipped was around $65,000.
What we did for A landscaping company with seasonal staff, Victoria, British Columbia
We reviewed each contractor against the CRA’s control and integration tests, converted those who met the employment tests, and priced the transition before it was forced by a ruling. The filing went in complete rather than provisional, so there was no amended return to follow.
The result — A landscaping company with seasonal staff, Victoria, British Columbia
Filed with 14 days to spare. $65,000 in late-filing penalties avoided, and the working papers are ready for the following year.
Case Study 5 · Missed incentive claimed
$47,000 In Credits Claimed That Prior Filings Had Missed — Two-Province Retail Chain, Winnipeg
Client: A retail chain across two provinces · Where: Winnipeg, Manitoba · Engagement: 7 weeks, fixed fee
Credits claimed$47,000
Years adjusted4
Review outcomeNo adjustment
The situation — A retail chain across two provinces, Winnipeg, Manitoba
A retail chain across two provinces in Winnipeg, Manitoba had been filing for 4 years without ever claiming the incentives its activity qualified for. Behind that sat remittances still going out monthly after the business had moved to the accelerated threshold.
What we did for A retail chain across two provinces, Winnipeg, Manitoba
We tested each activity against the eligibility criteria rather than the description on the invoice, then paid the accrued bonus inside the 179-day window and kept the deduction in the year it was accrued.
The result — A retail chain across two provinces, Winnipeg, Manitoba
$47,000 in credits claimed, with the open prior years adjusted as well. The claim passed review without adjustment.
Case Study 6 · Records and systems rebuilt
Month-End Close Cut From 6 Weeks To 9 Days — High-Turnover Restaurant, Moncton
Client: A restaurant with heavy seasonal turnover · Where: Moncton, New Brunswick · Engagement: 8 weeks, fixed fee
Close time before6 weeks
Close time after9 days
Year-endReview, not rebuild
The situation — A restaurant with heavy seasonal turnover, Moncton, New Brunswick
The accounting file at a restaurant with heavy seasonal turnover in Moncton, New Brunswick was built on a bonus accrued to bring the year-end tax bill down and still unpaid more than a year later. The year-end had taken 6 weeks each of the last three years.
What we did for A restaurant with heavy seasonal turnover, Moncton, New Brunswick
We wrote each pay code against its income tax, CPP and EI treatment, so a new benefit could not reach the payroll without a decision on how it was withheld and moved the reconciliations into the monthly cycle, so the year-end stopped being a rebuild.
The result — A restaurant with heavy seasonal turnover, Moncton, New Brunswick
The file reconciles. Month-end closes in 9 days instead of 6 weeks, and the year-end is a review rather than a reconstruction.
Reviewed for the 2025 tax year by Udit Gupta, Founder and Tax Accountant. 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.
