Year End Packages

Your T2 corporate income tax return is due within six months of your fiscal year-end. For a corporation with a December 31 year-end, the T2 is due June 30. For a March 31 year-end, it is due September 30. The tax payment itself is generally due two months after year-end (three months for CCPCs meeting certain conditions). Late filing attracts a 5% penalty on unpaid tax plus 1% per month — avoidable with timely filing.

A Compilation Engagement Report is a CPA-signed report prepared under CSRS 4200, indicating that the financial statements have been compiled by a licensed CPA from information provided by management. It is not an audit or review — the CPA does not verify the underlying data — but it provides assurance to lenders, investors, and third parties that the statements were prepared by a professional. Most Canadian business lenders require compiled financial statements for loan applications above a certain threshold. If your bank, a government grant program, or your franchise agreement asks for “CPA-prepared financial statements,” you likely need the Growth package.

The year-end packages cover the corporation’s T2 return and financial statements. Personal T1 tax returns for business owners are prepared separately — the cost depends on the complexity of your personal income (salary, dividends, investment income, rental income, capital gains). Book a consultation and we will provide a quote for both your corporate and personal filings together, as the two are coordinated in our salary/dividend optimization process.

To prepare your year-end, Bronte Bay needs access to your bookkeeping records (Xero access or a trial balance), your bank and credit card statements for the fiscal year, any year-end documents (mortgage statements for interest calculations, lease agreements, vehicle loan statements), and your prior year T2 return and notice of assessment. If your books are not current, we will advise on whether a bookkeeping cleanup is needed before the year-end can be completed — and what that costs.

Yes — this is one of the most common situations we encounter with new clients. Bronte Bay can reconstruct and clean up bookkeeping records before completing the year-end filing. The cost of the cleanup depends on how far back records need to go and how disorganized they are. We will assess the situation and provide a fixed quote before starting any cleanup work. Going forward, monthly bookkeeping keeps your books current so future year-ends are always a straightforward filing rather than a reconstruction project.

For clients with current, well-maintained books, the year-end process typically takes 2–4 weeks from when we receive all required documents to when the T2 is filed. For new clients or those with books that need cleanup, it can take longer. We always complete year-end engagements well before the CRA deadline — and we remind clients of upcoming deadlines before they arrive so there is never a last-minute rush.