Accountant for the industrial and manufacturing sectors

Running a factory in Quebec in 2026 means juggling a three-tier inventory system (raw materials, work-in-progress, finished goods), a cost of goods sold that must remain accurate despite rising input costs, U.S. tariffs, and a labour shortage driving automation. Between the year-end physical count, the allocation of manufacturing overhead, and the requirements of the lender financing your equipment, accounting for a manufacturer is nothing like that of a service business.

That’s exactly why we connect you with an accountant who understands manufacturing: inventory valuation, CCA, SR&ED and C3i tax credits, sales outside Quebec, and exports. We’ll find the ideal accountant for your factory, for free, introduce you to as many candidates as needed, and stay by your side for as long as necessary. No obligation.

• Valuing a three-tier inventory (raw materials, work in progress, finished goods): any discrepancy in the count distorts the cost of goods sold and the gross margin.
• Determine a reliable cost of goods sold per product or per batch (materials, direct labour, allocated overhead) to set profitable prices for clients.
• Plan for major capital expenditures (machinery, molds, tools) and optimize CCA based on category and date of acquisition.
• Document SR&ED whenever you improve a process or product: a refundable federal credit of up to 35% for CCPCs.
• Protect access to the small business deduction on the first $500,000 of active income; in Quebec, the 5,500 hours of paid work requirement or the proportion of manufacturing activities comes into play.
• Coping with Margin Pressure: Rising Input Costs, Tariffs, and Exchange Rates on Sales to the United States.
• Dealing with the Labour Shortage: Overtime, International Recruitment, and the Need to Fund Automation Initiatives.

• T2 (federal) and CO-17 (Revenu Québec) corporate tax returns, including financial statements and schedules specific to the manufacturing industry.
• Maintain inventory records in accordance with applicable standards (at cost or fair market value) to support the cost of goods sold, supported by physical counts.
• Collection of 5% GST and 9.975% QST; rules regarding the place of supply (HST) for interprovincial sales and zero-rated exports must be documented.
• Payroll deductions for factory workers: federal and Revenu Québec (QPP, QPIP, HSF with a reduced rate for manufacturing SMEs), T4 slips, and RL-1 slips.
• Capitalization Allowance (CCA) on manufacturing and processing machinery: Class 43 or 53, depending on the date of acquisition.
• SR&ED claims: Form T661 for the federal government and Revenu Québec’s R-D forms, with technical documentation maintained throughout the course of the work.
• CNESST contributions based on the plant’s classification unit; up-to-date payroll and subcontracting records.

Can you help me calculate my cost of goods sold? Yes, this is crucial in manufacturing. An accountant who understands the factory breaks down your cost of goods sold: raw materials, direct labour, and overhead costs allocated by product or by batch. You’ll see your true gross margin, product by product; you’ll set profitable prices for your clients; and your year-end inventory will hold up with both lenders and the tax authorities.

Am I eligible for credits such as SR&ED? Often, yes. If you improve processes, products, or equipment, your work may qualify for SR&ED: a refundable federal tax credit of up to 35% for CCPCs. In addition, there are Quebec-specific measures such as the C3i credit for manufacturing equipment. We’ll connect you with an accountant who knows how to document and file these claims, so you don’t have to spend your evenings doing it yourself.

How much does an accountant cost in this sector? According to the Bankeo Fee BarometerBased on 1,248 real-world cases (2024-2026), the median fee for an accountant in Quebec is around $3,000 per year, ranging from $500 to $6,000 depending on the industry and complexity of the work. The Bankeo matching service is free: you pay your accountant directly at standard market rates.

How to Switch Manufacturing Accountants Without Stress? We’ll handle it with you. The best time is after the inventory count and filing of tax returns, so that the new accountant can start with clean financial statements. Your former accountant is required to transfer your files, and we’ll introduce you to an accountant with manufacturing experience, for free, until we find the right fit.

Do I need a local or remote accountant for my factory? Both approaches work. A local accountant can visit the factory, attend the physical inventory count, and get a feel for your production floor; a remote accountant equipped with cloud-based tools can continuously monitor your inventory and cost of goods sold. What matters is manufacturing experience: tell us your preference, and we’ll match you accordingly.

Which CCA class applies to my manufacturing equipment? Manufacturing and processing machinery generally falls under Class 43 or Class 53, depending on the date of acquisition, with more favourable rules for certain recent purchases. Correct classification can significantly impact your tax liability for the year. An accountant familiar with the plant will verify the category, the date of commissioning, and the interaction with the C3i before filing your T2.