Financial reporting and accounting advisory services
You trust your external auditor to deliver not only a high-quality, independent audit of your financial statements but to provide a range of support, including assessing material risks, evaluating internal controls and raising awareness around new and amended accounting standards.
Accounting Standards for Private Enterprises
Get the clear financial picture you need with the accounting standards team at Grant Thornton LLP. Our experts have extensive experience with private enterprises of all sizes in all industries, an in-depth knowledge of today’s accounting standards, and are directly involved in the standard-setting process.
International Financial Reporting Standards
Whether you are already using IFRS or considering a transition to this global framework, Grant Thornton LLP’s accounting standards team is here to help.
Accounting Standards for Not-for-Profit Organizations
From small, community organizations to large, national charities, you can count on Grant Thornton LLP’s accounting standards team for in-depth knowledge and trusted advice.
Public Sector Accounting Standards
Working for a public-sector organization comes with a unique set of requirements for accounting and financial reporting. Grant Thornton LLP’s accounting standards team has the practical, public-sector experience and in-depth knowledge you need.
Tax planning and compliance
Whether you are a private or public organization, your goal is to manage the critical aspects of tax compliance, and achieve the most effective results. At Grant Thornton, we focus on delivering relevant advice, and providing an integrated planning approach to help you fulfill compliance obligations.
Research & development, government incentives
Are you developing innovative processes or products, undertaking experimentation or solving technological problems? If so, you may qualify to claim SR&ED tax credits. This Canadian federal government initiative is designed to encourage and support innovation in Canada. Our R&D professionals are a highly-trained, diverse team of practitioners that are engineers, scientists and specialized accountants.
Keeping track of changes and developments in GST/HST, Quebec sales tax and other provincial sales taxes across Canada, can be a full-time job. The consequences for failing to adequately manage your organization’s sales tax obligations can be significant - from assessments, to forgone recoveries and cash flow implications, to customer or reputational risk.
Global mobility services
In today’s competitive and global marketplace, your employee mobility strategy is a critical factor for success. International opportunities are key to attracting top talent and instilling a global mindset across your organization. Your people truly are your most valuable asset, and as your expatriate workforce continues to grow, a seamless global mobility program is essential to achieving your overall business goals.
US corporate tax
The United States has a very complex and regulated tax environment, that may undergo significant changes. Cross-border tax issues could become even more challenging for Canadian businesses looking for growth and prosperity in the biggest economy in the world.
US personal tax
Whether your business is only beginning to sell to US customers, or US customers represent the core of your business, anticipating and dealing knowledgeably with the US tax environment is critical to your bottom line. Our full-service US corporate tax group can help in all tax aspects of doing business in the US. Given high US corporate tax rates, don't be surprised by a US tax liability only to find out that there were planning opportunities available to reduce it.
While there is great opportunity for businesses looking to expand globally, organizations are under increasing tax scrutiny. Regardless of your company’s size and level of international involvement—whether you’re working abroad, investing, buying and selling, borrowing or manufacturing—doing business beyond Canada’s borders comes with its fair share of tax risks.
Transfer pricing is a complex area of corporate taxation that is concerned with the intra-group pricing of goods, services, intangibles, and financial instruments. Transfer pricing has become a critical governance issue for companies, tax authorities and policy makers, and represents a principal risk area for multinationals.
Succession & estate planning
Like many private business owners today, you’ve spent your career building and running your business successfully. Now you’re faced with deciding on a successor—a successor who may or may not want your direct involvement and share your vision.
Tax Reporting & Advisory
The financial and tax reporting obligations of public markets and global tax authorities take significant resources and investment to manage. This requires calculating global tax provision estimates under US GAAP, IFRS, and other frameworks, and reconciling this reporting with tax compliance obligations.
Our transactions group takes a client-centric, integrated approach, focused on helping you make and implement the best financial strategies. We offer meaningful, actionable and holistic advice to allow you to create value, manage risks and seize opportunities. It’s what we do best: help great organizations like yours grow and thrive.
We bring a wide range of services to both individuals and businesses – including shareholders, executives, directors, lenders, creditors and other advisors who are dealing with a corporation experiencing financial challenges.
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Viruses. Phishing. Malware infections. Malpractice by employees. Espionage. Data ransom and theft. Fraud. Cybercrime is now a leading risk to all businesses.
Running a business is challenging and you need advice you can rely on at anytime you need it. Our team dives deep into your issues, looking holistically at your organization to understand your people, processes, and systems needs at the root of your pain points. The intersection of these three things is critical to develop the solutions you need today.
Updates for creditors, limited partners, investors and shareholders.
Builders And Developers
Every real estate project starts with a vision. We help builders and developers solidify that vision, transform it into reality, and create value.
Rental Property Owners And Occupiers
In today’s economic climate, it’s more important than ever to have a strong advisory partner on your side.
Real Estate Service Providers
Your company plays a key role in the success of landlords, investors and owners, but who is doing the same for you?
There’s no business quite like mining. It’s volatile, risky and complex – but the potential pay-off is huge. You’re not afraid of a challenge: the key is finding the right balance between risk and reward. Whether you’re a junior prospector, a senior producer, or somewhere in between, we’ll work with you to explore, discover and extract value at every stage of the mining process.
Oil & gas
The oil and gas industry is facing many complex challenges, beyond the price of oil. These include environmental issues, access to markets, growing competition from alternative energy sources and international markets, and a rapidly changing regulatory landscape, to name but a few.
UPDATED: JULY 20, 2020
To provide relief for US taxpayers, assist employees affected by COVID-19 and bolster US businesses, the US government has released a range of new tax measures and regulations. The environment is changing fast, so we’ll continue to monitor the situation and update you regularly. As of now, here are some of the new requirements you should be aware of.
US tax stimulus measures
US Congress passed stimulus, as of Friday, March 27. The President has also signed this into law. For details, take a look at this article.
Under these new measures, the IRS will:
- Allow net operating losses (NOLs) arising in 2018, 2019 and 2020 to be carried back five years and suspend the 80% taxable income limit until 2021. See our article here.
- Increase the taxable income threshold for the Section 163(j) limit on the interest deduction from 30% to 50% for tax years beginning in 2019 and 2020, and allow taxpayers to use 2019 taxable income to calculate the 2020 limit. See our article here
- Allow corporations to claim refunds for all remaining alternative minimum tax (AMT) credits in 2018 and 2019
- Correct an error in the Tax Cuts and Jobs Act (TCJA) that prevented qualified improvement property (QIP) from qualifying for 100% bonus depreciation (this will likely translate into a large benefit for retailers and restaurants) See our article here
- Suspend payment requirements for the 6.2% employer portion of Social Security taxes from the date of enactment through the end of 2020, with half the balance due by the end of 2021 and the other half due by the end of 2022.
- Create a new refundable employee retention credit of up to $5,000 for paying wages while business operations are suspended, or if gross receipts for a business drop by 50%
- Increase the taxable income limit on corporate charitable deductions from 10% to 25% and contributions of food inventory from 15% to 25%
- Suspend the limit on excess business loss deductions under Section 461(l) in 2018, 2019 and 2020 so that it takes effect for the first time in 2021
- Suspend 2020 funding obligations for single-employer defined benefit pension plans until January 1, 2021 (with interest due) and allow pensions to use the prior year’s status for certain benefit restrictions
New Small Business Association (SBA) loan program
The Coronavirus Aid, Relief, and Economic Security (CARES) Act also expands the eligibility criteria for borrowers to qualify for loans through the Small Business Administration (SBA) in the United States. The Paycheck Protection Program provides approximately $349 billion in federally guaranteed loans to certain US small businesses that meet the requirements of the program. UPDATE: The President signed a bill Friday, April 24, which authorized an additional $310 billion in funds to the program to be available April 27, 2020. Additional information has been added to the Treasury Department guidance (link below).
What is the Paycheck Protection Program?
The Paycheck Protection Program is designed to provide a direct incentive for small businesses to keep their workers on payroll by providing each small business a loan up to $10 million for payroll and certain other expenses. If all employees are kept on payroll for eight weeks, SBA will forgive the portion of the loans used for payroll, rent, mortgage interest and utilities. Up to 100% of the loan may be forgivable on a tax-free basis. To the extent employees aren’t retained, the amount forgivable on a tax-free basis should decrease. Note that the deadline to apply has been extended to August 8, 2020.
Who is eligible?
Very broadly, businesses with 500 or fewer employees may apply. Businesses in certain industries may have more than 500 employees if they meet the SBA’s size standards for those industries. Note that the 500 or fewer requirement generally considers chains of corporations with 50% common ownership as a single employer.
How much is available?
The Paycheck Protection Program can provide loans up to the lesser of $10 million and an amount representing the product of multiplying by 2.5 the average total monthly payments for payroll costs and certain other costs of the business during the one-year period ending before the loan is made. The portion of the loan used for permitted purposes should be eligible for tax-free forgiveness. The loan carries a 4% interest rate for amounts not used for permitted purposes.
How do I apply?
Unlike the other tax measures in the CARES Act, this program is administered by the SBA and their authorized banks. Therefore, you should contact your US banker to discuss eligibility. In our experience so far, we are hearing that the banks are aware and awaiting additional guidance. The US Treasury Department has issued additional guidance here.
This information reflects our understanding at April 27, 2020 and is subject to change without notice.
New paid leave requirements
To support employees affected by COVID-19, some US employers must now comply with two new regulations: the Emergency Paid Sick Leave Act (EPSLA) and the Emergency Family and Medical Leave Expansion Act (EFMLEA). Signed into law on March 18, these Acts came into effect on April 1 and are funded by payroll tax credits discussed in more detail below.
The EPSLA imposes new sick leave requirements on both government agencies and any entity or individual engaged in commerce that employs fewer than 500 employees. The new sick leave requirements generally apply to both part-time and full-time employees.
Covered employers must provide the new paid sick leave benefits for employees who are unable to work or telework if the employee is:
- Subject to a federal, state or local quarantine or isolation order
- Self-quarantining under the advice of a healthcare provider due to COVID-19 concerns
- Diagnosed with COVID-19 symptoms
- Assisting a family member quarantined under an order or the advice of a healthcare provider
- Caring for a child if the school is closed or the childcare provider is closed or unavailable due to COVID-19
The employer must provide 80 hours of this sick leave for all full-time employees. Part-time employees must receive the equivalent to their average working hours over a two-week period. The leave must be at full pay, capped at $511 per day and $5,110 in total, unless the employee is caring for a child or family member, in which case the minimum is two-thirds pay capped at $200 per day and $2,000 in aggregate. The Department of Labor is charged with writing a model notice on the new benefits that all affected employers must post.
The EFMLEA similarly applies to government agencies and any entity or individual with fewer than 500 employees.
Payroll tax credits
To help cover the cost of these new benefits, the US government will be providing an estimated $105 billion in tax credits. Employers are entitled to credits against employer payroll taxes for 100% of both the qualified sick leave benefits and qualified family leave benefits required to be paid under the bill. The credit caps mirror the caps in benefits:
- $511 per individual per day for sick pay, reduced to $200 per day for leave to care for a child or family member
- $200 per individual per day and $10,000 total for family leave
The credit also includes any employer costs incurred to provide health insurance to the employee during the period of leave, and this portion of the credit is not capped.
Both credits are fully refundable.
For more information, take a look at this article. Additional guidance from the US Department of Labor can be found here:
We are here to help
We understand that you want to be agile and responsive as the situation unfolds. Having access to experts, insights and accurate information as quickly as possible is critical—but your resources may be stretched at this time.
We’re here to support you as you navigate through the impacts of coronavirus on your business and your investments.