Tuition Credit and Carry-Forward Review Case Studies
6 worked Tuition Credit and Carry-Forward 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 tuition credit and carry-forward review work, not a specific client's file.
Case Study 1 · Records and systems rebuilt
Month-End Close Cut From 12 Weeks To 6 Days — Gig-Economy Driver, Mississauga
The situation — A gig-economy driver, Mississauga, Ontario
The accounting file at a gig-economy driver in Mississauga, Ontario was built on medical expenses claimed on a calendar-year basis when a shifted window was worth far more. The year-end had taken 12 weeks each of the last three years.
What we did for A gig-economy driver, Mississauga, Ontario
We reset the medical expense claim window, transferred credits between spouses, and applied the tuition and disability amounts to the return that used them and moved the reconciliations into the monthly cycle, so the year-end stopped being a rebuild.
The result — A gig-economy driver, Mississauga, Ontario
The file reconciles. Month-end closes in 6 days instead of 12 weeks, and the year-end is a review rather than a reconstruction.
Case Study 2 · Backlog brought current
4 Years Filed, $93,000 Removed From The Assessed Balance — Employee with Foreign Accounts, Calgary
Client: An employee with foreign investment accounts · Where: Calgary, Alberta · Engagement: 5 weeks, fixed fee
Years filed4
Assessed balance removed$93,000
CollectionsStopped
The situation — An employee with foreign investment accounts, Calgary, Alberta
An employee with foreign investment accounts in Calgary, Alberta had not filed for 4 years. The CRA had issued arbitrary assessments, and the business was carrying employment expenses claimed with no signed T2200 from the employer to support them on top of a growing interest balance.
What we did for An employee with foreign investment accounts, Calgary, Alberta
We started with the oldest year and worked forward so each year's closing balances fed the next. We carried the capital loss back against gains reported in the prior three years and generated a refund rather than a carry-forward balance, filing the years in sequence rather than all at once.
The result — An employee with foreign investment accounts, Calgary, Alberta
Every year is now filed and assessed on actual figures. The notional assessments were vacated and $93,000 of the estimated balance came off, with a payment arrangement covering the rest.
Case Study 3 · Scaling without breaking
Scaled To 40 Staff With $134,000 Of Working Capital Freed — First-Time Home Buyer, Lethbridge
Client: A first-time home buyer · Where: Lethbridge, Alberta · Engagement: 5 weeks, fixed fee
Headcount reached40
Working capital freed$134,000
Missed deadlinesZero
The situation — A first-time home buyer, Lethbridge, Alberta
A first-time home buyer in Lethbridge, Alberta was growing fast — headcount to 40 in eighteen months — and the back office had not kept up. A home sale never reported on the basis that the gain was exempt anyway was the first thing to break.
What we did for A first-time home buyer, Lethbridge, Alberta
We filed the outstanding T1135 disclosures under the voluntary disclosure route before the CRA raised them, and built the compliance calendar for the size the business was becoming rather than the size it had been.
The result — A first-time home buyer, Lethbridge, Alberta
The business reached 40 staff with no missed remittance and no late filing. $134,000 of working capital was freed in the process.
Case Study 4 · Deadline rescue
Filed On Time From A Standing Start, $119,000 Penalty Avoided — Multi-Source Retiree, Kelowna
Client: A retiree drawing from three sources · Where: Kelowna, British Columbia · Engagement: 8 weeks, fixed fee
Penalty avoided$119,000
Turnaround8 weeks
FiledOn time
The situation — A retiree drawing from three sources, Kelowna, British Columbia
A retiree drawing from three sources in Kelowna, British Columbia came to us 8 weeks before its filing deadline with RRSP room accumulated over eight years and never used in a high-income year. A late filing would have triggered a penalty of roughly $119,000 before interest.
What we did for A retiree drawing from three sources, Kelowna, British Columbia
We worked backwards from the deadline. We reported the disposition and filed the principal residence designation for the year of sale, closing the late-designation exposure before the CRA raised it, prioritising the items that actually gated the filing and deferring everything that did not.
The result — A retiree drawing from three sources, Kelowna, British Columbia
The return was filed on time and complete. The $119,000 penalty never arose, and the compliance calendar we set means the next deadline is scheduled rather than discovered.
Case Study 5 · Objection and relief
Desk-Review Assessment Of $23,500 Vacated — Recently Separated Taxpayer, Moncton
Client: A recently separated taxpayer · Where: Moncton, New Brunswick · Engagement: 6 weeks, fixed fee
Assessment vacated$23,500
Supporting recordsNow on file
AccountCleared
The situation — A recently separated taxpayer, Moncton, New Brunswick
A recently separated taxpayer in Moncton, New Brunswick was carrying $23,500 of penalties and interest arising from a rental property reported without any capital cost allowance analysis, much of it accumulated during a period the CRA itself had delayed.
What we did for A recently separated taxpayer, Moncton, New Brunswick
We pooled the carried-forward donation receipts onto the higher-income spouse’s return so the whole claim sat above the low-rate first tier and framed the relief application on the specific grounds the CRA guidelines recognise rather than on general hardship.
The result — A recently separated taxpayer, Moncton, New Brunswick
The assessment was vacated. $23,500 came off the account, and the documentation now on file makes the same position straightforward to defend next time.
Case Study 6 · Planning that cut the bill
Remuneration Review Saved $46,000 Across Corporate And Personal Returns — Commissioned Salesperson, Victoria
Client: A commissioned salesperson · Where: Victoria, British Columbia · Engagement: 9 weeks, fixed fee
Combined saving$46,000
ScopeCorporate + personal
Future yearsNo rework needed
The situation — A commissioned salesperson, Victoria, British Columbia
Nothing was wrong at a commissioned salesperson in Victoria, British Columbia — the filings were on time and accurate. What they were not was planned. Three years of returns filed without the slips that had been mailed to an old address had never been reviewed.
What we did for A commissioned salesperson, Victoria, British Columbia
We obtained the signed T2200 and rebuilt the employment-expense claim on the prescribed form with the supporting records attached to the file, and 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 commissioned salesperson, Victoria, British Columbia
$46,000 came off the combined corporate and personal tax bill, and the structure holds for future years without further work.
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.
