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.
Market-driven expertise in investigation, dispute resolution and digital forensics
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.
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.
Business is not only defined by evolving consumer behaviours, technology, or economic factors—it’s also being shaped drastically by our changing environmental climate. From supply chain disruptions to legal and regulatory mandates to increased accountability, it’s clear businesses across various industries need to understand and prepare for climate-related risks.
The international Financial Stability Board (FSB) created the Task Force on Climate-related Disclosures (TCFD) in 2015 to help businesses identify the type of information they should disclose to investors, lenders, and other stakeholders about climate-related risks that may affect the business’s value. By acting now, you can help secure your value chain, boost credibility with your stakeholders, and increase your potential for future access to funding and investment.
According to the TCFD 2022 Status Report, support for the framework now spans 99 countries, and nearly all sectors of the economy, with a combined market capitalization of over $26 trillion The report shows that 80% of companies disclose in line with at least one of the TCFD’s 11 recommended disclosures.
The challenge of embracing TCFD
The advantages of reporting are significant, but so are the challenges involved in meeting the FSB’s recommendations (these include difficulties rooted in the TCFD’s own framework for the type of disclosures made).
Some of the challenges include:
- The limited or non-existent experience of first-time reporters when it comes to analyzing and reporting accurately on the climate-change scenario affecting your business. This not only generates risk—it drives the need for new or realigned resource and expertise, either within the business or externally.
- Gaining access to the relevant data may be particularly difficult for smaller businesses that haven’t historically had the research capabilities to crunch the relevant ESG-related information.
- The issue of governance. Does your board have the processes and internal controls in place to keep abreast of climate-related matters? Does it take climate issues into account when setting strategy? And how does it measure progress? The same questions apply to your management.
Our actionable guide below illustrates how your business can address these challenges.
Where should you start on TCFD?
Understand the timeframe and complexity
Regulation around climate reporting, which typically includes the company’s management plan for climate-related risks and encompasses emissions reporting, is coming to Canada, the UK, EU, the US, and many other parts of the world. Developing and deploying an effective risk management framework for sustainability matters is a significant undertaking. Similarly, creating a greenhouse gas (GHG) management program will require involvement and perspectives from across the organization.
Businesses shouldn’t underestimate the time, effort, and complexity involved in embedding climate issues at the heart of the business. This is especially relevant for first-time reporters. You should understand who’s going to be responsible for driving the project forward and ensure they have the knowledge and resources they need.
Build a workable roadmap
The next step in building a successful reporting process is developing the right roadmap to get your business to where it needs to be within the required timeframe. Too often, companies set and declare ambitious targets while providing no insight into how they are going to achieve them.
Look at the requirements and what you’d need to have in place if you were to report today. What would you have to include, and how does that compare to best practice, to your peers, and to others in your industry? Consider what you want your report to say, work back from that, and prioritize any gaps that emerge during the process.
Create an effective and efficient internal reporting framework
Reliable climate-related metrics start with a solid foundation. Documenting the rationale for your key decisions through each step of the process will go a long way towards supporting your future reporting and assurance requirements, making the required processes easier in the longer term for everyone involved.
Define KPIs and track performance
Businesses should establish key performance indicators (KPIs) which address the climate-related risks and opportunities it faces and track performance on an ongoing basis. If your business currently lacks the necessary resources to gather and process this data, plans will need to be put in place to help ensure this can be done effectively.
The world is moving aggressively to reduce GHG emissions—targeting net-zero by 2050—so it’s important to understand your current baseline emissions and identify the most effective and efficient ways to abate those emissions. In the short term, you can offset residual emissions and make sure those emission-reduction strategies are operational.
Understand the financial reporting implications and disclosure challenges
It’s nearly impossible to under-emphasize the complexities involved in the interplay between TCFD disclosures and other elements within corporate reporting. The discussions and disclosures businesses might include in the TCFD section will have financial reporting implications. For example, your business might be expecting to exit certain industries or see changes in consumer behaviour. You’ll need to consider what this might mean for your forecasting or how you present your business review. You’ll also need to look at how these factors play into the principal risks you’ve identified, how they apply to your governance disclosures, and how it all connects with your financial information. Asking these questions is important for any business at the start of its reporting journey.
Gain visibility over your value chain and Scope 3 emissions
Leading companies are increasingly requiring net-zero commitments throughout their value chains, working closely with suppliers and customers as they leverage their ability to meet their Scope 3 emissions targets. This is setting a precedent that will soon be expected of all businesses. The forthcoming IFRS Sustainability Disclosure Standards are expected to require reporting entities to disclose their Scope 3 emissions, when material.
Put the appropriate governance structures in place
Companies should implement the governance structures and procedures required to ensure compliance at both board and management levels. While this is becoming easier as leaders embrace their climate responsibilities, it’s an important focus area for those companies that have not yet instigated change.
From our global research, we know that integrating ESG thinking at all levels of your business is considered an important factor for boosting the credibility of sustainability reporting, highlighted by 35% of mid-market business leaders.
Act now on TCFD
The time to embrace the demands of TCFD is now. We can help you get there. If you’d like the support of our trusted advisors to shape your approach to TCFD reporting, please contact us today.
Source: Grant Thornton International Ltd.
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