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Accounting and tax services cover three different jobs: keeping your books, preparing your tax returns, and advising you on choices. Most small businesses need the first two, and most employees only need the second. Work out which one you’re shopping for before you call anyone. Simple.
What do accounting and tax services include?
The labels blur, so ask for the task, not the title. Here is how the work usually splits.
| Job | What it covers | Who needs it |
|---|---|---|
| Bookkeeping | Recording sales, expenses and payroll through the year | Anyone with a business |
| Personal tax return | Filing the T1 with slips, deductions and credits | Nearly everyone |
| Corporate return | Filing the T2 and year-end statements | Owners of a corporation |
| Sales tax filing | GST or HST returns and remittances | Registered businesses |
| Payroll | Source deductions and remittances for staff | Employers |
| Planning | Timing income, choosing salary or dividends | Owner-managers, landlords, investors |
One firm can sell all six, but you can also buy them separately. Plenty of owners keep their own books and hire someone only at year end. That’s a fair arrangement, as long as your records are clean when they arrive.
Which services fit which situation?
An employee with one T4 and a few receipts rarely needs more than software or a free clinic, and our guide on how to choose a tax preparer covers that side. A landlord with two rental units needs a return that handles rental income, so a preparer who does it all the time is worth a look. A shop owner with staff needs bookkeeping and payroll running all year, not just a return in the spring.
Think of it as matching the job to the size of the problem. Hiring a full-service firm to file a single T4 is overkill. Doing your own corporate return the first time is how people end up paying a late penalty.
Which services does a self-employed person need?
If you work for yourself, you file a personal return with business income on it, and the CRA moves your deadline to June 15 for the 2025 return. But any tax you owe was still due April 30. So the money has to be set aside before the paperwork is finished.
A rough figure helps you plan. The self-employed tax calculator shows income tax on your profit. It lowers income tax for deductions but not CPP, and it leaves EI out, so use it as a floor for your bill and not the whole answer.
Once you register for GST or HST you also owe returns on a schedule. The GST and HST calculator shows the tax on a sale, and staff bring payroll into the picture, where the payroll remittance calculator estimates what goes to the CRA each period.
What should you ask before you hire anyone?
Skip the sales pitch and ask direct questions. Who exactly prepares my return, and who signs it? Which of the six jobs above are included, and which cost extra? What do you need from me, and by when? What happens if the CRA writes to me next year?
The answer to that last one matters. Some firms answer CRA letters as part of the fee and some bill separately, and we couldn’t confirm any typical fee level, so get the terms in writing.
Check how the return will be filed too. The CRA says certified preparers file through its EFILE service, and you must sign Form T183 to allow it. Read the return before you sign, and keep a copy. You should also keep your slips, receipts and the completed T183 for at least 6 years, as the CRA’s page on using a professional tax preparer says.
Can someone deal with the CRA for you?
Yes, but through the right door. The CRA says that if you sign in on behalf of another person, you must use Represent a Client in the account, and not their password. You choose the level of access. Level 1 lets the CRA share information with your representative, and level 2 also lets them ask for changes to things like income, deductions or credits. They can’t change your name, address, marital status or direct deposit details.
Set an expiry date when you give access. Then it ends on its own, and you don’t have to remember to cancel it.
What if you run a corporation?
Then the tax picture has more moving parts: a corporate return, salary versus dividends, and sales tax. To see how the corporate side works out, the corporate tax calculator gives an estimate. Treat the Ontario small business rate as approximate, since it’s a blend of federal and provincial rates that we derived. Confirm it with the CRA or your accountant before you plan around it.
How we checked the figures
The filing, authorization and record keeping points come from the Canada Revenue Agency‘s pages on using a tax preparer, Represent a Client and the 2025 filing due dates. We didn’t verify any firm’s fees, services or credentials, and this page makes no claim about any of them.
Frequently asked questions
What is the difference between bookkeeping and tax preparation?
Bookkeeping records transactions through the year. Tax preparation turns those records into a return.
Does a self-employed person file later?
Yes, the 2025 return was due June 15, 2026, but any tax owing was still due April 30.
Can my accountant deal with the CRA for me?
Yes, once you authorize them through Represent a Client. Level 1 lets them see information, level 2 lets them ask for changes.
How long should I keep my records?
The CRA says keep slips, receipts and the completed Form T183 for at least 6 years.
What do these services cost?
We couldn't confirm typical fees. Ask for the price and what's included in writing.
- How to choose a tax preparer in Canada
How to decide if you need a tax preparer, what a preparer does, the questions to ask before you hire one and where to find free help in Canada