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Bookkeeping accounting services split into two jobs. Bookkeeping records what your business earned and spent. Accounting turns those records into statements and tax returns. Under the CRA’s rules you must keep the records for six years from the end of the last tax year they relate to, so whoever does the work, the paper trail is yours to protect.
We won’t name firms or quote monthly fees, because we can’t check either from an official source. This page covers what the work involves, when to pay for it, and how to tell if it’s being done well.
What is the difference between bookkeeping and accounting?
A bookkeeper handles the daily record: sales, bills, receipts, bank matching, payroll entries. An accountant takes that record and prepares the year end, the tax return and advice. Plenty of small businesses use one person for both, and that’s fine at low volume.
The split starts to matter when something goes wrong. If your books are a mess, the accountant bills hours to clean them, and that’s often the priciest way to buy bookkeeping.
When should I hire bookkeeping help?
Earlier than you’d like, usually. Watch for three triggers. You cross the GST/HST line, you hire an employee, or you incorporate. Each adds a filing with its own date.
| Trigger | What the CRA says |
|---|---|
| GST/HST registration | Required once taxable revenue passes $30,000 in a single quarter or over four consecutive quarters |
| Record retention | Six years from the end of the last tax year the records relate to |
| Self-employed personal return | Filing by June 15, balance owing by April 30 (2026 dates) |
| Corporation T2 return | Filing within six months of year end; payment generally two months after |
If a bookkeeper misses the GST/HST line, you start charging tax late and owe it out of your own pocket. The CRA says you must charge from the date you register, including on the sale that took you over the limit.
What does clean bookkeeping look like in numbers?
Say you sell an item that costs $60 and sells for $100. The profit margin calculator shows $40 of profit, a 40% gross margin and a 66.7% markup. Two different percentages, same sale. A bookkeeper who mixes them up will misprice everything, so ask which one your reports use.
Sales tax is the next test. A $30,000 sale in Ontario carries $3,900 of HST, so the customer pays $33,900 (see the GST/HST calculator). Your books should show that $3,900 as owed to the CRA, not as your revenue.
Payroll is where errors get costly. For one Ontario employee paid $3,000 gross in a pay period, the payroll remittance calculator gives $961.03 to send in: $732.62 held back from the employee, plus $228.41 of employer CPP and EI. The real cost of that pay period is $3,228.41. If your books show only $3,000, your profit is overstated.
How do I check my bookkeeper’s work?
Each month, ask for a bank reconciliation, a list of unpaid bills and a sales tax summary. A bookkeeper who stalls on those is telling you something.
Also ask where the records live. The CRA accepts paper, electronic or both, and it expects them to be kept and readable for the whole retention period. Make sure you can log in and export your own data. Never leave the only copy with someone else.
Mistakes that turn up at tax time
The classic is mixing personal and business spending. Another is tossing receipts once a scan exists but before you’ve checked the scan is legible. The CRA says you may be prosecuted for destroying records without permission before six years are up. Early destruction needs written permission, on Form T137 or by another authorized method.
Then there’s the owner who assumes the accountant “handles” instalments. They don’t unless you ask. The tax instalments calculator shows what four payments might look like, and the self-employed tax calculator gives a rough yearly bill (it leaves out EI and business expenses).
Where the numbers come from
Retention, small supplier and deadline rules come from the Canada Revenue Agency’s pages on keeping records, GST/HST small suppliers and 2026 business tax deadlines, read in September 2026. The examples come from this site’s calculators, using 2026 data. We found no official fee schedule for bookkeepers, so none is given. This site has no link with the CRA.
Frequently asked questions
What is the difference between bookkeeping and accounting?
Bookkeeping records daily transactions. Accounting turns the records into statements and tax returns and gives advice.
How long must I keep business records?
The CRA says six years from the end of the last tax year they relate to, unless you get permission to destroy them earlier.
When do I have to register for GST/HST?
When your taxable revenue passes $30,000 in a single calendar quarter or over the last four consecutive quarters.
Can I keep my records electronically?
Yes. The CRA accepts paper, electronic or a mix, as long as they stay readable for the whole retention period.
What do bookkeeping services cost?
We couldn't confirm fees from an official source. Get a written quote that lists what is included.
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Information only. This page is general information, not tax, legal or accounting advice. Tax-Services.ca is an independent publisher: we don't prepare or file tax returns or offer tax services, and we have no connection with the CRA, Revenu Québec, any government or any company named on this page. Check the figures that matter with an official source or a qualified professional.