SME Accounting
Catching up on overdue bookkeeping: what to do
23/7/2026
En bref. Une tenue de livres en retard se rattrape presque toujours, mais chaque mois d'attente coûte plus cher : une déclaration produite en retard avec un solde dû entraîne une pénalité de 5 % du solde impayé plus 1 % par mois complet, à l'ARC comme à Revenu Québec, en plus d'intérêts capitalisés quotidiennement. Pour le budget, le repère fiable est le Baromètre Bankeo : la comptabilité d'une entreprise coûte environ 3 000 $ par an en médiane (la plupart entre 500 et 6 000 $), et un rattrapage se chiffre en gros à ce repère annuel multiplié par le nombre d'années à reconstituer. La séquence gagnante : stopper l'accumulation, rassembler les pièces, prioriser TPS/TVQ et DAS, puis confier le bloc à un comptable qui accepte les dossiers urgents.
A pile of invoices in a box, statements piling up, a Revenu Québec notice buried under everything else: bookkeeping delays are one of the most common problems for Quebec entrepreneurs, and one of the easiest to let fester. The good news: a file that's six months, a year, or even three years behind can be brought up to date with a proven method, a calculated budget, and the right professional. This guide shows what's truly urgent, what catching up costs according to the Bankeo Barometer, and how to quickly connect with an accountant who accepts this type of engagement. For further information, once you're up to date, also consult our guide to the monthly cost of bookkeeping in Quebec .
In Quebec, a company is accountable to two administrations: the tax administration; Canada (CRA) at the federal level and Revenu Québec at the provincial level. When accounting falls behind, it's not just numbers that are missing: it's dated obligations that keep falling due, with penalties that calculate themselves.
The primary cost of a delay isn't the accountant's fee; it's the penalties and interest that accumulate while the file is pending. Here are the main rates in effect in 2026.
| Failure | | Typical penalty | Administration | |
|---|---|---|
| Late tax return with balance due (T1, TP1, T2, CO-17) | 5% of the outstanding balance + 1% per full month, up to 12 months | CRA and Revenu Québec, each on their own; |
| Late production recurrence | Up to 10% of the balance + 2% per month, for up to 20 months | ARC (rules comparable to those in Quebec) |
| Late remittances: VAT, VAT administered in Quebec, Quebec DAS | 7% to 15% of the amount due, depending on the number of days of delay | Revenu Québec |
| Federal deductions paid late | 3% to 10% of the amount due; | BOW |
| Any outstanding balance | Interest compounded daily at the prescribed rate, revised quarterly. | CRA and Revenu Québec; |
In addition to these tax brackets, there's a more serious risk: if you don't produce any income at all, the CRA and Revenu Québec can issue an arbitrary assessment, meaning they can estimate your income for you and tax you based on that estimate, often higher than your actual earnings. To contest it, you need... reconstructed records. In other words, back taxes become mandatory anyway, but under the worst possible conditions.
If you have never filed any returns, the CRA's Voluntary Disclosures Program and its equivalent at Revenu Québec can reduce penalties, provided you take the first steps before the tax authorities contact you. This is yet another reason to act now rather than waiting for a letter. An accountant experienced in handling these situations will verify your eligibility and prepare your file.
C'est la question qui retient la plupart des entrepreneurs, et elle se répond avec des données plutôt qu'au hasard. Le Baromètre Bankeo situe les honoraires comptables réels au Québec : médiane autour de 3 000 $ par an, la plupart des entreprises entre 500 et 6 000 $ selon le secteur et le volume. Basé sur les honoraires réels de 1 248 mandats conclus via Bankeo (2024-2026), sur plus de 15 000 demandes reçues depuis 2023, c'est le repère le plus solide du marché québécois.
A catch-up process follows a simple logic: reconstructing a year's worth of books costs roughly the same as a year's worth of regular bookkeeping, adjusted for three factors: transaction volume, document condition, and required tax returns (GST/QST, DAS, income tax). Here's how to locate your file.
| Depth of the delay | Typical work | Cost benchmark (Bankeo barometer) |
|---|---|---|
| A few months, complete parts | Data entry, reconciliations, and updating of quarterly taxes | Lower end of the range: a few hundred dollars |
| A full year | 12-month seizure and conciliation proceedings, VAT returns, tax file preparation | Autour du repère annuel médian d'environ 3 000 $ |
| Two to three years | All of this, multiplied by the year to be reconstructed, from the oldest to the most recent | The annual benchmark per year of delay, each year ranging between €500 and €6,000 depending on the volume |
| Complex case: missing documents, taxes never filed, verification in progress | Reconstruction from bank statements, representation before the authorities | Top of the price range + representation fees: request a detailed quote |
Two tips for managing your budget. First, request a fixed price for the remedial session, a price known in advance, rather than an open hourly rate: our hourly rate vs. fixed price comparison explains why. Second, separate the quote into two parts: the remedial session (one-time) and the regular (recurring) sessions, so you can compare each to the relevant benchmark in the Barometer.
A successful catch-up always follows the same order. Adhering to it prevents you from paying twice for the same work.
The real bottleneck in catching up on taxes isn't the method itself, but finding a professional who has availability right now. During peak tax season, many firms refuse new catch-up mandates; outside of that season, the challenge is finding those who will accept them. That's precisely what Bankeo does: you describe your situation (years of arrears, legal structure, taxes and DAS [French social security declaration] involved, condition of your documents), and we target our network of over 1,500 accountants to those who handle catch-up cases and have short-term availability. Initial contacts are often made within 48 hours, the service is free and without obligation, and we provide ongoing support: if you don't click with the first profile, we'll present you with others, at no cost.
In terms of qualifications, a book of experience is sufficient for data entry and reconciliations; if T2 and CO-17 slips are overdue or an audit is underway, request a CPA who is a member of the Ordre des CPA du Québec, authorized to file these returns and represent the company with the authorities. Our CPA vs. bookkeeper comparison details who does what, and at what price. Trust is also evident: entrepreneurs matched through Bankeo give us a rating of 4.7/5 based on over 180 Google reviews.
To speed up your first call, prepare:
Bankeo connects you free of charge with audited accountants from its network of over 1,500 partners, including those who accept urgent catch-up cases. Describe your backlog, receive tailored proposals: initial connections are often made within 48 hours. This service is free, with no obligation, and we're always there to support you.
Find my accountantLe repère vient du Baromètre Bankeo, basé sur les honoraires réels de 1 248 mandats conclus via Bankeo (2024-2026), sur plus de 15 000 demandes reçues : la médiane des honoraires comptables se situe autour de 3 000 $ par an, la plupart des entreprises payant entre 500 et 6 000 $. Un rattrapage représente environ ce repère annuel par année de livres à reconstituer, ajusté selon le volume de transactions, l'état des pièces et les déclarations à produire. Demandez un forfait fermé plutôt qu'un taux horaire ouvert.
A late tax return with an outstanding balance incurs a penalty of 5% of the unpaid balance plus 1% per full month of delay, up to 12 months, payable to both the CRA and Revenu Québec. For repeated offences, the penalty can increase to 10% plus 2% per month. Late remittances (GST, VAT) are penalized at a rate of 7% to 15% of the amount owing, depending on the number of days, and interest accrues daily on any outstanding balance.
The CRA and Revenu Québec can issue an arbitrary assessment: they estimate your income and tax you based on that estimate, often higher than your actual income, leaving it up to you to contest it with reconstructed records. If you have never filed tax returns, the federal and Quebec voluntary disclosure programs can reduce penalties if you take the first steps before being contacted. An accountant experienced in handling these cases will help you prepare your file.
A few days for a delay of a few months with complete documentation, a few weeks for one or two years' worth of records, and longer if documents are missing or VAT returns have never been filed. An accountant handling urgent cases starts with the most critical obligations (DAS, VAT), then reconstructs the records from the oldest to the most recent. Providing complete bank statements from the outset significantly reduces the processing time.
Not necessarily for data entry and reconciliations: an experienced accountant does that work very well. A CPA who is a member of the Quebec CPA Order becomes relevant when T2 and CO-17 returns are late, when an audit is underway, or when the business needs to be represented before tax authorities. Many catch-up cases combine both roles: the accountant reconstructs the data, and the CPA reviews and files the return.
Establish a routine even before the catch-up period ends: cloud-based accounting software connected to your bank accounts, ongoing filing of documents, monthly reconciliation, and a calendar of VAT and DAS deadlines. If time is short, delegate your bookkeeping: this is precisely the scenario where a monthly fee is less expensive than the next catch-up period. Your accountant, paired through Bankeo, can structure this routine with you; we're always there to support you.
General information provided for guidance purposes only, reflecting the current 2026 tax regulations. It does not replace the advice of an accountant or chartered accountant: always consult a professional for your specific situation.
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