How to choose an accountant for your corporation: a checklist for Canadian owners

Choose a corporate accountant on four things: credentials and authorization for the work you need, relevant experience, a written scope and fee you can compare, and a working style that fits how you keep records. Price matters, but a lower quote with a narrow scope or a firm that does not understand your industry can cost more by year end. The checklist below takes you from shortlisting to signing, with questions to ask in the first meeting.

This guide belongs to the annual accounting cost estimate guide. It does not recommend any firm.

Step 1: confirm credentials and authorization

CPA designation. Chartered Professional Accountants are regulated by provincial and territorial CPA bodies, such as CPA Ontario, CPA British Columbia, CPA Alberta and the Ordre des CPA du Québec. You can usually confirm membership on the regulator's public directory.
Public accounting authorization. Provinces regulate who may offer certain services to the public, especially assurance (reviews and audits) and, in some provinces, compilation engagements. Ask whether the firm and the individual are authorized for the engagement you need and check with the provincial body if unsure. See compilation, review and audit.
Bookkeepers and tax preparers. These titles are generally not regulated in the same way. Many are excellent, but ask about training, insurance and who reviews their work.
Professional liability insurance. Ask whether the firm carries it.

Step 2: check experience that matters to you

Your situation	What to ask
Quebec operations	Do you prepare the CO-17, RL slips and QST returns regularly?
Several companies (holdco and opco)	How do you handle associated corporations and intercompany dividends?
Inventory or construction	How do you approach inventory counts, work in progress and holdbacks?
Online sales	How do you reconcile marketplace and processor payouts?
Employees	Who runs payroll and slips, and who is accountable for remittance errors?
Growth plans or a future sale	Do you advise on shareholder structure and planning, or refer out?

Step 3: compare scope and fees on the same basis

Send each firm the same one-page description of your corporation and ask for a written proposal that lists:

Each service included: bookkeeping, sales tax returns, payroll, compilation or review, T2, provincial return, slips, corporate annual filings
Whether the fee is fixed or hourly, and the hourly rate for out-of-scope work
What condition your records must be in for the fixed fee to hold
Whether routine CRA or Revenu Québec letters are included
Billing schedule: at year end, monthly, or with a retainer
Turnaround time and the firm's deadline for receiving your records

Then compare quotes against your own estimate from the accounting fee estimator. The engagement letter guide explains the clauses that cause surprise invoices.

Step 4: test the working relationship

Which accounting software does the firm work in, and does it want direct access to your file?
How will you exchange documents securely?
Who is your day-to-day contact, and who signs off on the work?
How quickly does the firm respond in busy season (February to April, and around common year ends)?
Will the firm tell you before doing work that will be billed extra?

Step 5: set up authorization and access properly

CRA: authorize the firm as a representative through Represent a Client, at the level needed (for example, view only or update). Remove previous representatives you no longer use.
Revenu Québec: a separate authorization is needed for Quebec files.
Accounting software: give the firm its own user login rather than sharing yours, so access can be removed later.
Ownership of records: confirm in writing that your accounting file and source documents remain yours and how they will be returned if you change firms. See switching accountants.

Red flags

A quote far below others with no written scope
No engagement letter offered
Pressure to sign in a hurry, or reluctance to say who will do the work
Promises of a specific tax result or refund before seeing your records
Requests that you give them your own CRA login rather than authorizing them as a representative
Unclear answers about insurance or authorization

A short scoring table

Score each firm from 1 to 5 on each line, and weigh price last.

Criterion	Firm A	Firm B	Firm C
Credentials and authorization for my engagement
Relevant experience
Clarity of scope
Software and process fit
Responsiveness
Total fee for the same scope

When to involve another professional

An accountant is not always the only adviser you need. A lawyer handles shareholder agreements, corporate reorganizations and disputes; a tax specialist may be needed for cross-border income, a sale of the business or estate planning. Ask the firm whom they work with and whether those costs would be separate.

Before the first meeting, gather what the firm will need using the year-end package checklist, and decide how much work you want to keep in-house with DIY, bookkeeper or accountant.

Frequently asked questions

Do I need a CPA, or is a bookkeeper enough?

A bookkeeper can handle monthly books. For the year-end compilation and the T2, most corporations use a CPA, and some engagements are restricted to licensed practitioners depending on the province.

Is a local firm better than an online one?

Not necessarily. What matters is experience with your province and industry, responsiveness and a clear scope. An online firm may suit a corporation with fully digital records.

How many quotes should I get?

Two or three comparable written proposals are usually enough to see the range.

Sources

CPA Canada — the CPA profession and links to provincial regulators
CPA Ontario — membership directory and public accounting licensing in Ontario
Ordre des CPA du Québec — CPA regulation in Quebec
Canada Revenue Agency — authorizing a representative