Recent News
October 2026: Fall Notes from Allin & Associates
The boats are coming out of the water, the marinas are quieting down, and the kids are back in school. For most of us, that means getting back to business. For Jordan, it means the busiest stretch of the year.
Jordan runs a boat storage and repair shop near the river. (Jordan isn’t a real client. Jordan is a blend of the owners we work with, and this story is the kind we hear often.) Every October, boats line up for haul-out, shrink-wrap and winter storage. It’s also when Jordan sits down with us to talk about year-end.
The early years
When Jordan first incorporated, paying themselves was simple. When Jordan needed money, it came out of the company account. That worked until year-end, when all those withdrawals added up to a large shareholder loan.
The rule is that a shareholder loan generally has to be repaid within one year after the end of the company’s tax year in which it was taken. Otherwise the CRA adds it to your personal income. We sorted it out, and since then Jordan pays themselves on purpose: a regular salary, plus dividends when the year allows.
Growing into it
As the business grew, so did the questions. Salary builds RRSP room and CPP, and dividends often cost less tax along the way. There’s no single right mix, so it’s something we look at every year.
This year there’s a twist. Ontario cut its small business tax rate from 3.2% to 2.2% on July 1, so the company keeps a bit more of what it earns. But starting January 1, 2027, Ontario is reducing the tax credit on dividends from small businesses. The same dividend will cost Jordan a little more in personal tax next year than it would this year. So this fall, we looked at whether to pay some dividends before December 31.
Jordan also wanted to thank the shop manager after a big season. A year-end bonus is deductible to the company this year, as long as it’s actually paid within 180 days of year-end.
Giving back
Jordan supports the local hospital foundation, and the first thought was to have the company write the cheque. It’s a natural instinct, but for most small business owners the tax break is bigger when you give personally. The exception is shares of a public company that have gone up in value. Donated from the corporation, those can sometimes work out better. Jordan decided to give personally, before December 31 so it counts for this year.
Looking down the road
Jordan isn’t planning to sell anytime soon. But someday that might change, and when it does, the lifetime capital gains exemption could shelter up to $1.25 million of the gain on Jordan’s shares. To qualify, the shares have to meet certain tests, including some that look back over the two years before a sale. That’s not something you can fix the month before a buyer shows up, so we keep an eye on it now.
The point of all this
None of Jordan’s decisions this fall were complicated on their own. What made the difference was talking them through before December 31, while there was still time to choose.
If you or your business resembles Jordan, give us a call. We’re always happy to talk it through.
Allin & Associates CPAs
August 2026: Summer Update from Allin & Associates
We have a few mid-year pointers and updates for our valued clients and small businesses in Ontario 🇨🇦🍁
Between backyard barbecues, evening mosquitoes, and the slower pace of a Thousand Islands summer, tax planning is probably not top of mind right now. But mid-year is still a good time to pause between burgers and bug spray and take stock of a few changes that may affect you and your business.
-Ontario small business corporate tax rate-
The rate dropped from 3.2% to 2.2%, effective July 1, 2026. For qualifying CCPCs, this generally applies to up to $500,000 of active business income, subject to the usual limits. If your corporation’s fiscal year straddles July 1, the reduction is prorated based on the portion of the year falling before and after that date.
-Capital gains inclusion rate-
The rate remains at 50%. After uncertainty over the past two years, the previously proposed increase was deferred and has since been cancelled, so no higher inclusion rate came into force.
For private corporations, the non-taxable half of a capital gain generally adds to the corporation’s capital dividend account (CDA). Where a CDA balance exists and the proper election is made, that amount can generally be paid to Canadian-resident shareholders as a tax-free capital dividend. For owner-managers, this means the 50% inclusion rate affects how gains realized inside a corporation may eventually be extracted.
-CRA administered personal benefits-
This is also the time of year when many benefits are recalculated using the prior year’s tax return. In practical terms, payments received now may reflect 2025 income rather than 2024 income. If a benefit deposit changed this summer, it may simply be the annual reset rather than an error. Keeping personal filings current remains important, since an unfiled return can interrupt benefits and credits.
-Corporate instalments-
This is a good point in the year to review instalment amounts. Interest, and in some cases penalties, can apply where instalments are late or insufficient. Staying on top of instalments is one of the simplest ways to avoid unnecessary carrying costs.
Overall, the main mid-year message is straightforward: Ontario small business tax is lower, the capital gains inclusion rate did not increase, and the 50% rate continues to create CDA planning considerations for private corporations.
Please feel free to reach out if you have any questions. We are always happy to touch base.
Allin & Associates CPAs
July 2026: A Year of Settling - A Season to Plan
If the past two years of tax headlines left you with less clarity and more uncertainty, you weren’t alone. A proposed increase to the capital gains inclusion rate was announced, then deferred, then cancelled altogether. Rates moved. Rules shifted.
The good news heading into this summer: things have settled, and the picture is clearer than it’s been in a while.
Where things landed
A few changes worth knowing, all now in effect:
The capital gains inclusion rate stays at 50% — the proposed increase was cancelled. The lowest federal tax rate is dropping from 15% to 14%, phased in through 2025 and 2026. The Lifetime Capital Gains Exemption has risen to $1.25 million for qualifying small business shares and farm or fishing property. And the Underused Housing Tax has been eliminated going forward.
Each of these can affect how you plan — and a clearer landscape is exactly when it’s worth taking stock.
Let’s use the quiet season
Much of our work is personal tax planning, and the best conversations rarely happen in April. Summer is a good time to think ahead. Whether you’re considering the sale of a property or business, income splitting, retirement timing, or simply want a sense of where things stand, talking now gives us room to act before year-end — rather than scrambling after it.
If you’d like to connect, reach out and we’ll find a time that works.
A note on dealing with the CRA
Two things we’ve noticed this year. Responses to our submissions are taking longer than usual — so if your file feels like it’s moving slowly, processing delays are often the reason, and we’re following up on your behalf. We’ve also seen letters showing balances owing that don’t appear to reflect payments already made. If something like that lands in your inbox, please call us before taking any action. More often than not, the payment is there and simply needs to be matched.
New tools in our office
We’re expanding our use of Karbon — the platform behind how we work with you — to bring in secure file transfers in place of email attachments, and electronic signing for engagement letters and returns. It won’t change the relationship. It’s just our way of making the paperwork a little easier.
Questions about any of the above? Don’t hesitate to reach out.
Allin & Associates CPAs
April 2026: The Straightforward Solution to Falling Behind
A Story We Know Well
The call might come on a Tuesday afternoon. Or a Thursday morning. The day does not really matter. It’s the tone of voice on the other end of the line — somewhere between apologetic and quietly concerned.
Sometimes it is the CRA. A few letters have turned into phone calls, and a couple of years’ worth of filings are overdue.
Sometimes it is the bank. The business is doing well — well enough that it is time for a loan to buy equipment, take on a new lease, or hire. The banker has asked for up-to-date financial statements, and the owner realizes the books are not in any shape to share.
Sometimes it is a potential buyer, a new investor, or a partner asking reasonable questions the owner cannot quickly answer.
Situations differ. The overall feeling is usually the same: I think I’m behind, and I’m not sure where to start.
We have had many conversations like this. The first thing we want to say to anyone in this position: you are not the first, or the last, and it is genuinely fixable with the right tools.
How It Happens
No one sets out to fall behind. The tricky situation is almost always similar. A busy season stretches into a busier one. A bookkeeper leaves, software lapses, or a business is so busy that it just takes over for a while. One month of reconciling gets skipped. Then the next one feels too complicated to tackle without dealing with the first. And the spiral has begun.
The business keeps going because the business has to keep going. Clients need to be served; staff need to be paid, and the actual work — the thing the owner is good at — does not pause just because the books are behind. So the paperwork slides, and the longer it slides, the more intimidating the pile becomes.
By the time someone outside the business starts asking questions — the CRA, a banker, an investor, even a spouse — the owner usually knows something has to be done. They just do not know where to start, and it can feel embarrassing to ask.
Where We Start
The first meeting is mostly about lowering the temperature. Before we can do anything useful, we need to understand the shape of the situation. How far back do the gaps go? Is it bookkeeping, tax filings, HST, payroll, or some combination? Is there a deadline we are working toward — a CRA letter, a loan application, a year-end — or is this about getting organized on principle?
Then we ask for everything. Bank statements, credit card statements, whatever accounting records exist even if they are incomplete, old invoices, receipts, notes from previous bookkeepers. It does not need to be organized. It just needs to be gathered.
From there, the work is methodical. We rebuild the recent history one period at a time — reconciling the bank accounts, categorizing transactions, identifying income, sorting out expenses, and putting the numbers into a shape that reflect the reality of the business. It is not glamorous work, but it is the only way forward.
Getting to a Clear Picture
The biggest dread for clients is finding out where their numbers really stand. We understand why — the unknown is scary to think about but also easier to avoid in the short term.
We have consistently found that our clients feel better when they have real numbers in front of them. Not a guess, not a worst-case worry, but an accurate picture based on actual records.
For the owner facing the CRA, this picture becomes the basis for getting back on track, filing what is owed, and dealing with it from an informed position of knowledge rather than dread. The CRA can be more reasonable than people expect when a taxpayer is making a genuine effort to get current. Having clean, professionally prepared filings changes the conversation entirely.
For the owner facing the bank, this picture is about the financial statements the lender must consider — and just as importantly, it’s about the owner’s own understanding of the business going into the conversation. Walking into a lending discussion knowing your revenue trend, margins, and cash position is a very different experience compared to hoping the banker never asks.
The common thread is clarity. You cannot make a good decision, or have a good conversation with anyone who matters, without it.
The Part We Try Not to Lecture About
Once the dust settles and the records are caught up, there is a natural conversation about how to keep it from happening again. We try not to make this part heavy. The client has already been through enough, and no one needs a lecture after they have just climbed out of a hole.
What we do say is this: the reason you fell behind is almost never to do with accounting itself. It is about capacity. Running a business is a full-time job, and bookkeeping tends to be the thing that gets squeezed when everything else is urgent. The fix is usually not trying harder on Sunday nights.
The fix, for most business owners, is getting an outside bookkeeper involved. Let them do what they are good at, so you can do what you are good at. You started your business because you are skilled at a trade, a service, or a product — not because you wanted to spend your evenings reconciling a bank feed. An experienced bookkeeper can do in a few focused hours what takes an owner a frustrated weekend, and the records they produce are cleaner, more consistent, and ready when anyone asks for them.
This is one of the few professional expenses that tends to pay for itself. Clean, current books mean fewer surprises at year end, fewer hours spent reconstructing what happened months ago, a faster path through a loan application, and a much cleaner conversation if the CRA ever comes knocking. More than that, it frees up the owner’s attention for the work that actually grows the business.
Clients who come to us during a crunch often become our most consistent clients afterward. Not because they are worried about another one, but because they have seen the difference between operating in the dark and operating with a clear picture. Once you have experienced the second one, it is hard to go back.
If This Sounds Familiar
If you are reading this and something is nagging at you — a return that is overdue, a loan conversation coming up, a year you have been trying not to think about — the best time to deal with it is now. Not because the situation is going to get easier if you wait, but because you will feel better once it is moving.
We have sat across the table from a lot of people who thought their situation was the worst one we had ever seen. It almost never is. And even when it is complicated, there is always a path forward.
If you are looking for consistent and reliable bookkeeping support, please reach out to our trusted partners at 1000 Islands Accounting, Bookkeeping, Consulting @ 1000islandsabc.ca
Allin & Associates CPAs
March 2026: Tax Season
The Last-Minute Tax Crunch: Filing Smart Before the Deadline
By late March, many taxpayers find themselves in a familiar position—documents are still being gathered, a few slips may be missing, and filing has yet to be completed. If that sounds like you, you’re not alone. It is our own observation that 2/3 of filers leave their returns to April (or later).
The good news is that even at this stage, there is still time to file properly and avoid unnecessary penalties, interest, or missed opportunities. The key is to focus on the items that have the greatest impact.
Prioritize Filing on Time
For most individuals, both the filing and payment deadline is April 30. If you owe taxes and file late, the CRA applies a penalty of 5% of the balance owing, plus an additional 1% for each month the return is late.
If certain documents are still outstanding, it is better to file using reasonable estimates and amend the return later rather than miss the deadline entirely. Filing on time avoids penalties and keeps you in good standing.
Keep Document Collection Simple and Complete
When time is limited, it is easy to second-guess what should be included. This is often where key items are missed.
As a rule of thumb, gather and provide:
- Income slips (T4s, T5s, and other reporting slips)
- RRSP contribution receipts
- Tuition, donation, and medical receipts
- Childcare expenses
- Investment or rental activity
If you are unsure whether something is relevant, include it. It is more efficient for us to not include information we know about, than to ask for more and wait for responses.
RRSP Contributions: One of the Last Planning Opportunities
RRSP contributions made before the deadline remain one of the most effective ways to reduce taxable income. Ensuring these contributions are properly reported can have a meaningful impact on your overall tax position. For higher earning individuals, the impact is greater.
If You Cannot Pay, File Anyway
If you expect to have a balance owing but are unable to pay in full by April 30, it is still critical to file your return on time.
Late filing penalties are more significant than interest on unpaid amounts. In many cases, interest can be managed, and payment arrangements with the CRA may be available. Avoiding the filing altogether typically leads to larger and more complex issues.
Self-Employed Individuals: A Common Misunderstanding
Self-employed individuals have until June 15 to file their personal returns; however, any taxes owing are still due April 30.
This distinction is frequently misunderstood. While the extended filing deadline provides additional time to prepare information, it does not delay interest on unpaid balances. Estimating your position early can help avoid surprises.
A Practical Approach to the Final Weeks
At this stage of tax season, the goal is not perfection—it is clarity and completion. A timely, well-prepared filing supported by complete information is far more effective than delaying in pursuit of missing details.
At Allin & Associates, our approach is grounded in clear communication and minimizing surprises. Even in last-minute situations, a calm and organized process can ensure your return is filed accurately and with confidence.
If you are feeling behind, the next step is simple: gather what you have and move forward. We are here to assist with the rest.
Allin & Associates CPAs
February 2026: Key Insights
Beyond the Shoebox: Making Your Business Numbers Work for You
Let’s be honest: by the time February rolls around, most business owners are just trying to survive the mountain of paperwork sitting on their desks. If you’re currently digging through gloveboxes for gas receipts or wondering where that one specific invoice went, you aren’t alone. While we are deep into the 2025 filing season, it might feel a little late to change how you handled last year—but it is the perfect time to make sure 2026 is different.
At Allin & Associates, we’re big believers in the “no surprises” lifestyle. That doesn’t come from working harder in April; it comes from setting up simple, human-friendly habits now. Here is how to take the “tax sting” out of your business and keep more of your hard-earned money where it belongs.
The Vehicle Trap (And the $6,900 Opportunity)
We see it all the time: an owner puts their personal vehicle under the business name thinking it’s a great write-off. In reality, it’s often a massive administrative headache and a huge “audit temptation” for the CRA. Between tracking every oil change and calculating complex taxable benefits for your personal grocery runs, the math rarely favors the owner.
The better way? Keep the car personal and have your corporation reimburse you at the CRA’s prescribed per-kilometre rate for business travel. This method is available to employees—including owner-managers—who use their own vehicle for work. For 2026, those rates are $0.72 for the first 5,000 km and $0.66 thereafter.
The Golden Rule of Tracking: It is important to remember that driving from your home to your office and back counts as a “personal commute”—the CRA won’t let you claim those kilometers. However, if you are like most entrepreneurs, you are rarely just going to the office. Every trip to the bank, the office supply store, a customer’s site, or a coffee meeting counts.
If you can demonstrate that you’ve driven 10,000 km for work over the year, that is $6,900 back in your personal hands, tax-free. Just be sure to keep a detailed logbook to support your claim. Pro Tip: Don’t use a paper logbook that will end up lost under the seat. There are fantastic apps today (like MileIQ or QuickBooks Self-Employed) that run in the background and let you swipe “left” for personal and “right” for business.
The “Silent Partner” in Your Success: A Good Bookkeeper
I know it’s tempting to try and “save money” by doing the books yourself on Sunday nights. But here’s the reality: a great bookkeeper is one of the few expenses that actually pays for itself “in spades.”
When your books are clean and current, you aren’t just ready for tax season—you’re ready to run your business. You can see if a project was actually profitable or if your overhead is creeping up before it hits your bank account. More importantly, if the CRA ever decides to take a closer look, having a professional set of records is your best defense. It turns a scary audit into a simple “here are the records” conversation. Note that digital records are perfectly acceptable for CRA purposes, so you can skip the physical filing cabinet.
Making the Most of Your Home Office
Since many of us are Ontario-based entrepreneurs working from home, don’t overlook the “Business Use of Home” deduction.
If you have your principal place of business at home, and a dedicated space where you do your admin, billing, or client calls, you can claim a portion of your home’s running costs—utilities, insurance, property taxes, and even mortgage interest(note that you cannot deduct the principal portion of your mortgage payment).
Calculate the square footage of your office versus the rest of the house and apply that percentage to your eligible expenses. If your corporation pays you rent for the space, ensure you have a written rental agreement in place and report that rental income appropriately on your personal return.
Why We Do This
At the end of the day, we know you didn’t start your business because you love accounting. You started to provide for your family, serve your community, and maximize your rewards.
Our job isn’t just to file forms; it’s to provide the calm, professional guidance that helps you navigate these rules without the jargon. Whether you are a solo entrepreneur or running a local non-profit, we want to help you move from “surviving tax season” to “proactive planning.”
If 2025 feels like a mess, let’s get through it together—and then let’s make sure 2026 is the year you finally feel in control.
If you are looking for consistent and reliable bookkeeping support, please reach out to our trusted partners at 1000 Islands Accounting, Bookkeeping, Consulting @ 1000islandsabc.ca
Allin & Associates CPAs
January 2026: New Year Update
Dear Clients,
Happy New Year from all of us at Allin & Associates. We hope 2026 is off to a great start and that you had a restful holiday season.
First, thank you for choosing us. We know it takes trust to share personal and business information, and we truly appreciate the opportunity to support you and your family or business.
As we head into personal tax season, there are a few simple things you can do now that will make the process smoother later.
1) CRA account access (priority)
To properly support you and ensure we have full visibility when questions come up, we need access to your CRA account. If you haven’t logged in recently, please take a moment to confirm you can access CRA My Account and that your contact details (phone number and email) are current. If you run into any issues, let us know—we’re happy to help you get it sorted.
2) Start gathering your tax documents — and bring everything
As slips and receipts arrive, please begin setting them aside. This includes employment and income slips (T4s, T5s, etc.), RRSP receipts, tuition slips, donation receipts, medical receipts, childcare receipts, and any other items that may apply.
If you’re not sure whether something is relevant, bring it anyway—we’ll review it with you and determine what should be included. It’s always better to have too much than to miss something important.
For best timing, we recommend having your personal tax information to us by early March. That gives us time to review carefully, follow up if anything is missing, and file without rushing.
3) Business owners — do you need T4s or T5s issued?
If your company needs to issue T4s (employees) or T5s (dividends/investment income), the deadline is the end of February. Please let us know as soon as possible so we can make sure everything is prepared and filed on time.
When you’re ready, you’re welcome to drop your documents off, or reach out and we’ll coordinate the best way to get everything to us.
Thanks again for your continued support. If you have questions about what to bring, what to keep, or when to send things in, please don’t hesitate to call or email—we’re always happy to help.
Allin & Associates CPAs
July 2024: Company Update
Dear Valued Clients & Friends,
As you all know Durand and Associates was purchased by Kelly Allin back in April. Kelly has been working with CPA Ontario to get the name of the business changed.
As of July 5, 2024 the name was finally approved and the firm is now Allin & Associates Professional Corporation. We will be launching our website soon at allinandassociates.ca
You may have various emails saved for employees that will now look a little different. If you could please save the following emails to get in touch with our staff.
Kelly: Kelly@allinandassociates.ca
Tracy: Tracy@allinandassociates.ca
Jennifer: Jennifer@allinandassociates.ca
We want to introduce Samantha Cole as the newest member of our team, and let you know that Nicholas Dinh is no longer an employee of our office. If you were one of his clients, please do not worry you will receive the same great service and care from one of our other employees as you would have from Nick himself. We wish Nick the best on his new adventures. Please feel free to reach out to Kelly if you have any questions or concerns.
Not only did our emails change but your phone number is (613)925-0145 with the following extensions:
Kelly Allin: ext 1
Tracy Dumond: ext 3
Jennifer Hughes: ext 0
Just a reminder our office remains closed on Fridays for the month of August but will return being open Monday-Friday in September.
