6 worked Tax Planning 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 tax planning work, not a specific client's file.
Case Study 1 · Planning that cut the bill
Remuneration Review Saved $69,000 Across Corporate And Personal Returns — Second-Generation Manufacturer, Kelowna
Client: A second-generation family manufacturer · Where: Kelowna, British Columbia · Engagement: 11 weeks, fixed fee
Combined saving$69,000
ScopeCorporate + personal
Future yearsNo rework needed
The situation — A second-generation family manufacturer, Kelowna, British Columbia
Nothing was wrong at a second-generation family manufacturer in Kelowna, British Columbia. The filings were on time and accurate. What they were not was planned. Two corporations under common control filing as if each had its own $500,000 limit had never been reviewed.
What we did for A second-generation family manufacturer, Kelowna, British Columbia
We modelled salary against dividends across both the corporation and the shareholder’s personal return, then set the remuneration mix for the year. We 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 — A second-generation family manufacturer, Kelowna, British Columbia
$69,000 came off the combined corporate and personal tax bill, and the structure holds for future years without further work.
Case Study 2 · Missed incentive claimed
Incentive Review Recovered $70,000 Across 3 Open Years — Professional Corporation, Guelph
Client: A professional corporation · Where: Guelph, Ontario · Engagement: 8 weeks, fixed fee
Recovered$70,000
Open years claimed3
Ongoing trackingIn place
The situation — A professional corporation, Guelph, Ontario
An incentive review at a professional corporation in Guelph, Ontario started from a simple question: what has never been claimed? The answer ran to 3 years. It was driven by a loss year carried forward by default when carrying it back would have produced a refund cheque.
What we did for A professional corporation, Guelph, Ontario
We reviewed each capital cost allowance pool and set the claim at the level that kept the small business deduction fully used rather than wasted. We documented eligibility to the standard a reviewer would apply rather than the standard a claim form requires.
The result — A professional corporation, Guelph, Ontario
The credits produced $70,000 across the open years. The tracking now in place means the following year's claim is documented as the work happens rather than reconstructed afterwards.
Case Study 3 · Structure rebuilt
Reorganisation Completed Tax-Deferred, $36,500 Saved Each Year — Holding and Operating Companies, Lethbridge
Client: A holding company and its operating subsidiary · Where: Lethbridge, Alberta · Engagement: 10 weeks, fixed fee
Annual saving$36,500
Tax on reorganisationDeferred
Elections filedOn time
The situation — A holding company and its operating subsidiary, Lethbridge, Alberta
A holding company and its operating subsidiary in Lethbridge, Alberta had outgrown the structure it started with. Dividends moved up to a holding company year after year with no safe-income support on file was the immediate problem. The longer-term one was that the structure blocked the next step.
What we did for A holding company and its operating subsidiary, Lethbridge, Alberta
We mapped the current structure and modelled the target. Then we carried the non-capital loss back against the two profitable years and recovered tax already paid instead of holding a carry-forward balance. The tax-deferred elections were filed on time and the supporting valuations documented.
The result — A holding company and its operating subsidiary, Lethbridge, Alberta
The reorganisation completed without triggering tax, and the new structure saves approximately $36,500 a year while removing the exposure the old one carried.
Case Study 4 · Records and systems rebuilt
16 Months Reconciled And $14,500 Of Input Tax Recovered — Two-Shareholder CCPC, Toronto
Client: A CCPC with two shareholders · Where: Toronto, Ontario · Engagement: 5 weeks, fixed fee
Months reconciled16
Input tax recovered$14,500
Close time6 days
The situation — A CCPC with two shareholders, Toronto, Ontario
Nothing reconciled at a CCPC with two shareholders in Toronto, Ontario. Every filing started with 16 months of cleanup. The file was carrying passive investment income that had crossed the $50,000 grind threshold unnoticed.
What we did for A CCPC with two shareholders, Toronto, Ontario
We rebuilt from source rather than correcting on top of the existing file. We mapped the association rules across the group, allocated the business limit deliberately on Schedule 23, and corrected the prior year by adjustment request. Then we set the routine that keeps it clean.
The result — A CCPC with two shareholders, Toronto, Ontario
16 months reconciled to the bank. The close now takes 6 days, and $14,500 of previously unclaimable input tax was recovered in the process.
Case Study 5 · Scaling without breaking
Second-Province Expansion Handled, $60,000 Of Cash Released — Non-Calendar Year-End Corporation, Calgary
Client: A corporation with a non-calendar fiscal year-end · Where: Calgary, Alberta · Engagement: 11 weeks, fixed fee
Cash released$60,000
New registrationsComplete on day one
Compliance gapsNone
The situation — A corporation with a non-calendar fiscal year-end, Calgary, Alberta
Revenue at a corporation with a non-calendar fiscal year-end in Calgary, Alberta was up sharply and cash was tighter than ever. Underneath it sat retained earnings building in the operating company with no plan for extracting them.
What we did for A corporation with a non-calendar fiscal year-end, Calgary, Alberta
We reconstructed the capital dividend account from the underlying transactions and filed the subsection 83(2) election before the next distribution left the company. Every new obligation was set up before it was triggered, not after. That covered registration, remittance frequency and provincial filing.
The result — A corporation with a non-calendar fiscal year-end, Calgary, Alberta
$60,000 of cash was released from the working capital cycle. The expansion completed with every registration and filing obligation covered from day one.
Case Study 6 · Sale and succession
Intergenerational Transfer Completed With $220,000 Deferred — Instalment-Paying Corporation, Vancouver
Client: A corporation paying instalments on prior-year figures · Where: Vancouver, British Columbia · Engagement: 11 weeks, fixed fee
Tax deferred$220,000
TransferCompleted
RecordsReview-ready
The situation — A corporation paying instalments on prior-year figures, Vancouver, British Columbia
A generational transfer at a corporation paying instalments on prior-year figures in Vancouver, British Columbia had been discussed for years without a plan. A shareholder loan balance that would have been picked up as income on closing meant the transfer as contemplated would have been fully taxable.
What we did for A corporation paying instalments on prior-year figures, Vancouver, British Columbia
We moved passive holdings into a separate structure so the operating company’s small business limit stopped grinding down. We sequenced the steps so each one was complete and documented before the next depended on it.
The result — A corporation paying instalments on prior-year figures, Vancouver, British Columbia
$220,000 of tax was deferred through the transfer, and the successor generation took over a corporation whose records stood up to review.
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.
