A compilation engagement is where a CPA helps management prepare financial statements from the information management provides. It is often used for year-end statements that lenders, landlords, investors, or other users ask for. I provide compilation engagements for small businesses and owner-managed corporations in Toronto, ON.
Please note: a compilation provides no assurance. Milinchuk CPA does not provide audit or review engagements.
What a compilation is, and is not
- A compilation report is issued under CSRS 4200 Compilation Engagements. It replaced the Notice to Reader for periods ending on or after December 14, 2021.
- It is not an audit and not a review. I do not verify the information you give me, and I give no opinion and no conclusion on the financial statements.
- Management remains responsible for the financial information, for the choice of basis of accounting, and for the accuracy and completeness of the information provided.
- Whether a compilation is enough for a lender or another user is that user's decision. Ask them before you order the work.
What is included
- A written engagement letter that sets out the scope and intended use before work starts
- Year-end financial statements prepared from your records, with a note describing the basis of accounting
- My discussion with you of significant judgments and of anything that looks misleading
- A Compilation Report (CSRS 4200) attached to the statements
Fees
My 2026 price list shows year-end compilation financial statements with a Compilation Report (CSRS 4200) at $1,500 to $4,500, in Canadian dollars plus HST. The amount depends on the size and condition of your records. I confirm the fee in writing before work starts. You can also try my fee estimator. Estimates are not a quote.
How it works
- A free call to understand your business, your records, and who will use the statements
- A scope, fee, and engagement letter agreed before work starts
- You provide your bookkeeping records, bank statements, and supporting documents
- I prepare the statements, review them with you, and issue the Compilation Report
Sources
CPABC summary: CSRS 4200 Compilation Engagements, Plainly Speaking.
Frequently asked questions
Is a compilation an audit or a review?
No. A compilation provides no assurance. I do not provide audit or review engagements.
Will my bank or lender accept a compilation?
That depends on the lender. Some accept compilation statements and some ask for a review or an audit. Please ask your lender first. If a review or audit is required, I will tell you that it is outside my services.
What do you need from me?
Your bookkeeping records or access to them, bank and credit card statements, loan statements, and supporting documents for the year. If your books need a cleanup first, I can discuss bookkeeping.
Is this the same as the Notice to Reader?
The Compilation Report under CSRS 4200 replaced the Notice to Reader for periods ending on or after December 14, 2021.
This page provides general information only and is not tax or legal advice for your situation.