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Compilaiton Engagements

SGA CPA Professional Corporation provides CSRS 4200-compliant compilation engagements that transform management-provided financial data into clear, structured financial statements. Our Chartered Professional Accountants present financial information to support lender requirements, tax reporting, and internal decision-making for private and owner-managed businesses.

Compilaiton Engagements
Introduction

SGA CPA: Your Partner in Compliant and Accurate Financial Reporting

A compilation engagement entails a Chartered Professional Accountant (CPA) taking unaudited financial data supplied by the client and assembling it into financial statements. These are the most prevalent types of financial reporting services employed by Canadian small to mid-sized enterprises, regulated by the Canadian Standard on Related Services (CSRS) 4200. A compilation offers a useful and inexpensive method for business owners to fulfill stakeholder requirements, including lenders, investors, and taxing authorities. This is suitable for owner-controlled businesses, sole proprietors, partnerships, and small corporations that do not need audited or reviewed financial statements. Many lenders still use the old term “Notice to Reader (NTR),” but the correct title since CSRS 4200 took effect is “Compilation Engagement Report,” which replaced NTR/Section 9200 for periods ending on or after December 14, 2021.

Compiled financial statements are usually required by businesses for reasons such as obtaining loans, meeting internal reporting needs, preparing corporate tax returns (T2 returns), or meeting third-party arrangements. Yet, too many entrepreneurs mistakenly view compilations as "mere bookkeeping" or that they provide the same degree of assurance as a review or audit. This can lead to incomplete records, inaccurate financial classification, or insufficient disclosure, which can make financing or tax compliance more difficult. Common problems include incorrect general ledger data, outdated bookkeeping software, no reconciliations, and inconsistencies between tax and accounting treatments.

At SGA CPA, we close the gap. Our team offers professional, effective, and full-compliance compilation engagements that are specific to your business size, industry, and reporting requirements. We collaborate closely with your internal accountant or bookkeeper to find discrepancies, tidy up your general ledger, and effectively map financial information to create clear, correct, and CSRS 4200-compliant compiled financial statements. Whether you need a compilation for financing, year-end reporting, or strategic planning, our Chartered Professional Accountants ensure that the work is compliant with CSRS 4200 requirements, reduces tax risk, and provides clarity to stakeholders.

Our Solutions

Expert Compilation Services for Reliable Financial Reporting

Accurate Financial Statements, Enhanced Compliance, and Seamless Integration

Preparation of Unaudited Financial Statements

Preparation of Unaudited Financial Statements

We accept financial data supplied by management and organize it into a formal set of financial statements according to the proper reporting format, such as tax basis, cash basis, or ASPE. These statements serve to satisfy year-end compliance requirements, aid in internal planning, and satisfy fundamental reporting needs of lenders and outside parties. While no assurance is made, your statements are presented in detail and in simple terms to ensure you have the utmost confidence in them.

Compilation Engagement Report Issuance

Compilation Engagement Report Issuance

Each engagement encompasses a formal Compilation Engagement Report, as mandated by CSRS 4200. The report reveals the type of engagement, explains the accounting basis employed, and explicitly states that the financial data were not reviewed or audited. It provides added transparency to stakeholders like banks or lessors who need compiled financials as part of credit or lease requests.

General Ledger Review and Adjustments

General Ledger Review and Adjustments

Before preparing your financials, we conduct a detailed review of your general ledger to eliminate incorrectly classified transactions, post omitted entries, and reconcile key accounts like bank balances, receivables, and capital assets. We also make the required adjusting journal entries (AJEs) to update your records to reflect accurate current figures and year-end reporting specifications. The process eliminates errors and enhances the quality of financial information employed in tax and decision-making.

Trial Balance Preparation and Financial Statement Mapping

Trial Balance Preparation and Financial Statement Mapping

We calculate or reconcile your adjusted trial balance accurately and comprehensively before mapping the data into the correct line items on the proper financial statement. Proper classification of assets, liabilities, revenues, and expenses based on your chosen basis of accounting is done. This mapping ensures consistency with CRA's expectations and makes downstream processes such as preparation of tax returns or bank filings easier.

T2 Tax Return Integration and Consistency

T2 Tax Return Integration and Consistency

Our compilation financial statements are coordinated with your T2 corporate tax return, including important schedules such as Schedule 100 (Balance Sheet) and Schedule 125 (Income Statement). We coordinate figures that appear for tax purposes so they coincide with your compiled statements, eliminating inconsistencies that may instigate CRA questions or reassessments. This tax-integrated process simplifies year-end and minimizes risk.

FEATURE

Our Compilation Engagements

At SGA CPA, we recognize that reliable financial reporting is the cornerstone of proper business management and regulatory compliance. Our Compilation Engagements, which are performed under CSRS 4200, aim to translate your internally prepared financial information into organized, well-presented financial statements. We accomplish this without issuing assurance, but with emphasis on clarity, consistency, and conformity to Canadian accounting standards. Whether your company functions on the cash basis, tax basis, or ASPE, we make sure the financials are addressing your individual operating and reporting requirements.

What sets us apart is our dedication to accuracy and proactive assistance. We do not just tally your figures—we find inconsistencies in your ledger, fix misclassified items, and make sure each line item on your books accurately represents your financial status. Bookkeeping may be inconsistent in quality throughout the year for many owner-operated and private businesses. That's why we work directly with your internal finance team or bookkeeper to tidy up the general ledger, make adjusting entries, and complete a set of financial statements that not only pass third-party requirements like banks’ but are also trustworthy for strategic decision-making and tax planning.

Our compilation services are built for Canadian business owners who demand transparency, efficiency, and compliance. With SGA CPA, your finances are in the hands of experts, organized, ready for audit, and prepared to meet the demands of stakeholders, tax officials, and financial institutions.

Our Experts
Sumit Garg CPA, CA

Sumit Garg CPA, CA

Partner, Senior Vice President Assurance & National Leader Public Companies

1-877-251-2922

Sumit.garg@sgaglobe.com

Sumit Garg CPA, CA

Sumit Garg CPA, CA

Partner, Senior Vice President Assurance & National Leader Public Companies

1-877-251-2922

Sumit.garg@sgaglobe.com

Sumit Garg CPA, CA

Sumit Garg CPA, CA

Partner, Senior Vice President Assurance & National Leader Public Companies

1-877-251-2922

Sumit.garg@sgaglobe.com

Sumit Garg CPA, CA

Sumit Garg CPA, CA

Partner, Senior Vice President Assurance & National Leader Public Companies

1-877-251-2922

Sumit.garg@sgaglobe.com

Why Choose SGA Tax for Corporate Trust and Estate Planning?

1
Integrated Expertise

Our services combine tax, legal, and estate planning solutions all in one place.

2
Certified Professionals

Our team includes CPA, CA professionals, and lawyers from SGA CPA Professional Corporation and Spear & Shield Law Professional Corporation.

3
U.S. Tax Expertise

We have in-house U.S. CPAs registered with the US CPA local state and board, along with AICPA, providing cross-border tax advice and have good experience dealing with the IRS.

4
Prestigious Memberships

Our team is part of national organizations like the Canadian Tax Foundation (CTF), Society of Trust and Estate Practitioners Canada (STEP Canada), Estate Planning Council of Canada, Chartered Professional Accountants of Canada (CPA Canada), Conference for Advanced Life Underwriting (CALU), and the Canadian Bar Association.

5
Decades of Experience

Our professionals bring over 15 years of experience in tax and law.

6
Advanced Qualifications

Our experienced team has completed advanced tax courses, including the CPA Canada In-Depth Tax Course, to provide in-depth tax advice to our clients.

7
Continuous Learning

We attend workshops and seminars from bodies like CPA Canada, STEP Canada, CALU, Canadian Tax Foundation, The Advocate Society, Toronto Lawyer Association, Law Society of Ontario, Estate Planning Council of Canada, and Mississauga.

8
Unified Approach

Our professionals collaborate to provide comprehensive advice, eliminating the need for multiple experts.

Trusted

Strategic Partnerships & Memberships

We proudly partner with reputable industry associations and global tax networks, delivering best-in-class expertise with every consultation.