6 worked Trial Balance Preparation and Review 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 trial balance preparation and review work, not a specific client's file.
Case Study 1 · Records and systems rebuilt
Month-End Close Cut From 5 Weeks To 9 Days — Independent Pharmacy, Saskatoon
The accounting file at an independent pharmacy in Saskatoon, Saskatchewan had a weak foundation. It was built on year-end statements that arrived four months late and never tied to the bank. The year-end had taken 5 weeks each of the last three years.
Case 1: what we did
We rebuilt the trial balance from source documents, reconciled every bank and credit-card account, and issued a CSRS 4200 compilation with a proper basis-of-accounting note. We also moved the reconciliations into the monthly cycle, so the year-end stopped being a rebuild.
Case 1: the result
The file reconciles. Month-end closes in 9 days instead of 5 weeks, and the year-end is a review rather than a reconstruction.
Case Study 2 · Cash and remittance control
Remittance Schedule Corrected, $56,000 Refunded — Quarterly-Close Practice, Toronto
Client: A professional practice that closes its books quarterly. Where: Toronto, Ontario. Engagement: 9 weeks, fixed fee.
Overpayment refunded$56,000
Late remittances sinceZero
ScheduleAutomated
Case 2: the situation
Remittances at a professional practice that closes its books quarterly in Toronto, Ontario were consistently late by a few days. That was enough to trigger penalties every quarter. Behind it sat a shareholder loan account that had drifted for three years with no supporting entries.
Case 2: what we did
We valued work in progress on one consistent basis and documented the method, so the comparative year could be relied on. Then we moved the remittance dates into a scheduled process rather than a monthly decision.
Case 2: the result
Penalties stopped from the following remittance onwards, and $56,000 of overpaid instalments was refunded.
Case Study 3 · Planning that cut the bill
Remuneration Review Saved $62,000 Across Corporate And Personal Returns — Regional Courier Operator, Regina
Nothing was wrong at a regional courier operator in Regina, Saskatchewan. The filings were on time and accurate. What they were not was planned. Work in progress carried at billing value one year and at cost the next, so neither year was comparable had never been reviewed.
Case 3: what we did
We set a monthly close calendar with a fixed cut-off, so the year-end became a review of work already done rather than a twelve-month rebuild. We ran the numbers across both the corporate and personal returns, so the saving was real rather than deferred into someone else's hands.
Case 3: the result
$62,000 came off the combined corporate and personal tax bill, and the structure holds for future years without further work.
Case Study 4 · Scaling without breaking
Growth Handled Without A Missed Filing, $29,500 Freed — Design Agency, Edmonton
A 14-person design agency in Edmonton, Alberta was opening in a second province. That meant different filing obligations and a different payroll regime. A bank that refused to renew an operating line without compliant statements already sat in the file.
Case 4: what we did
We moved accruals, prepaids and depreciation into a documented month-end checklist, so they stopped being year-end discoveries. We then put monthly reporting in place. That let the owner see the cash effect of growth while there was still time to act on it.
Case 4: the result
Growth was absorbed without a compliance failure. $29,500 of cash was released, and the monthly reporting now flags a problem while it is still small.
Case Study 5 · CRA review defended
$54,000 Proposed Adjustment Withdrawn In Full — Commercial Cleaning Contractor, Windsor
A commercial cleaning contractor in Windsor, Ontario received a proposal letter opening a review of trial balance preparation and review. The CRA had identified inter-company balances between two related corporations that had never been reconciled. It proposed an adjustment of $54,000, with 30 days to respond.
Case 5: what we did
We treated the response as an evidence exercise rather than an argument. We built a fixed-asset continuity schedule from the purchase invoices. We set the capital cost allowance claim class by class rather than claiming the maximum by default. We then indexed every supporting document against the specific line the auditor had questioned.
Case 5: the result
The proposed adjustment was withdrawn in full — all $54,000 of it. The file closed in 7 weeks with no change to the assessed amounts and no penalty.
Case Study 6 · Missed incentive claimed
$70,000 In Credits Claimed That Prior Filings Had Missed — Two-Partner Engineering Firm, Surrey
Client: A two-partner engineering firm. Where: Surrey, British Columbia. Engagement: 5 weeks, fixed fee.
Credits claimed$70,000
Years adjusted6
Review outcomeNo adjustment
Case 6: the situation
A two-partner engineering firm in Surrey, British Columbia had been filing for 6 years. In that time, the incentives its activity qualified for were never claimed. Behind that sat a year-end moved informally, leaving twelve months of trading reported as though nothing had changed.
Case 6: what we did
We tested each activity against the eligibility criteria rather than the description on the invoice. Then we separated personal and corporate spending, cleared the shareholder loan through a documented salary and dividend mix, and restated the comparative year.
Case 6: the result
$70,000 in credits claimed, with the open prior years adjusted as well. The claim passed review without adjustment.
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.
