A year-end bookkeeping checklist for Canadian small businesses

Year-end is smoother when the work is spread out, not crammed into a panic in February. Here’s a practical checklist we use with clients to get the books clean and defensible before the deadlines arrive.

Reconcile every account

Reconcile all bank and credit card accounts through year-end, and resolve any lingering discrepancies. Un-reconciled accounts are the single most common reason numbers can’t be trusted at year-end.

Review receivables and payables

Go through accounts receivable and write off anything genuinely uncollectible. Confirm your accounts payable are complete, so expenses land in the right period.

Tidy the chart of accounts

Merge duplicate accounts, fix miscategorised transactions, and make sure personal and business expenses are cleanly separated. A clear chart of accounts makes everything downstream easier.

Confirm payroll and slips

If you have employees, make sure payroll records are complete and remittances are accounted for, ready for T4 preparation. (T4 information returns are generally due the last business day of February — see our Important Deadlines.)

Capital assets

Review additions and disposals of equipment or other capital assets for the year, so depreciation and any gains or losses are handled correctly.

Gather your documentation

Pull together the records that support the year: statements, invoices, receipts, and loan documents. Keeping them organised now saves hours later — and the CRA expects businesses to keep their records. For the official rules, see the CRA’s business tax guidance.

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Not sure where your books stand? That’s exactly what we help with — get in touch and we’ll take a look.