Switching Accountants in Montreal: Signs It’s Time and How to Find a New CPA

Choosing the right accountant is crucial for both individuals and small businesses. In Montreal’s unique tax environment (with both federal and provincial regulations), having a competent, proactive accountant can save you time, money, and stress. But how do you know when your current accountant is falling short? And if you decide to switch, how can you find a reliable CPA (Chartered Professional Accountant) in Montreal? This guide outlines the warning signs that it may be time to change accountants – from missed deadlines to poor communication – and provides a step-by-step approach to finding and evaluating a new CPA. The focus is on Quebec and Canadian considerations, ensuring you get advice relevant to Revenu Québec, the CRA, and local business needs.

Signs It’s Time to Switch Your Accountant

Even if you’ve worked with an accountant for years, specific issues are clear red flags that you’re not getting the service you need. Below are some common warning signs that it may be time to consider switching accountants, especially in a Montreal context where compliance with both federal and provincial requirements is critical.

Missed Deadlines and Late Filings

Timely filing of tax returns, remittances, and financial statements is non-negotiable in Canada. If your accountant has missed tax deadlines or filing dates, it’s a significant concern. Late filings can trigger hefty penalties from tax authorities. For example, in Quebec, even being a few days late on a sales tax or payroll remittance can incur penalties of 7% to 15%. These fines add up and can hurt your finances. An accountant’s job is to stay on top of deadlines – whether it’s the April 30 personal tax deadline, corporate tax filings (federal T2 and Quebec CO-17), GST/HST and QST returns, or payroll remittances. Consistently late filings or forgotten submissions (such as a missed year-end tax return) are a clear sign of negligence. In one case, a Montreal business owner discovered that their accountant had never filed a corporate return, resulting in taxes, interest, and penalties from Revenu Québec. Bottom line: if you’re getting frequent government late notices or have to remind your accountant about due dates, their unreliability is putting you at risk.

Poor Communication and Responsiveness

Figure: An accountant “ghosting” their client – failing to respond to calls or emails. One of the most common complaints about accountants is poor communication. If your emails and phone calls routinely go unanswered or you’re left “on read” for weeks, it shows a lack of professionalism and respect for your business. In Montreal’s fast-paced business environment (and especially during tax season), you need an accountant who responds in a timely manner. Lack of communication might manifest as “ghosting” – the accountant simply disappearing when you need them most. This can be disastrous if it coincides with important tax questions or CRA/RQ deadlines. Good accountants should provide clear explanations and updates without you having to chase them. If you feel like you’re always the one following up, or you constantly get vague answers and excuses instead of clarity, consider it a red flag. As one Montreal CPA notes, there is rarely a valid reason for an accountant to ignore client communications. Consistent unresponsiveness erodes trust and can lead to missed opportunities or compliance issues that you only learn about when it’s too late.

Outdated Practices and Technology

Business and tax rules evolve quickly, and so does accounting technology. If your accountant is stuck in the past, using outdated practices, it could be holding you back. Signs of this include reliance on paper records, manual ledgers, or old software instead of modern cloud-based accounting systems. For instance, an accountant still insisting on faxes, paper forms, and accordion files for record-keeping may be inefficient and prone to error. In one case, a small business found its accountant was literally keeping books by hand in ledgers and hadn’t transitioned them to any digital system. This not only wastes time but can also lead to mistakes and a lack of real-time financial insight. An up-to-date accountant should be comfortable with tools like QuickBooks, Xero, or Acomba (a popular Quebec accounting software) – using these to give you timely reports and data access. Outdated practices may also mean the accountant isn’t staying current with tax law changes or new compliance requirements. If you notice your accountant isn’t aware of recent tax credits, e-filing processes, or if they discourage automation that could help your business, you’re not getting full value from montrealfinancial.ca. An unwillingness to modernize is a sign that it might be time to seek an accountant who embraces technology and up-to-date methods to better serve you.

Lack of Proactive Advice or Tax Planning

A good accountant does more than just record history; they help you plan for the future. If your accountant only contacts you at tax time and never offers planning advice throughout the year, you may be missing out on savings. Look at whether they provide proactive tax planning – for example, advising on how to minimize taxes, optimize RRSP/TFSA contributions, plan dividends vs salary for owners, or time major expenses advantageously. If such discussions never happen, it’s a warning sign. Many small business owners complain that their accountants do the bare minimum (bookkeeping and annual filings) but don’t add value through insights or strategic guidance. In Quebec, where tax rates and rules differ from the rest of Canada, tailored advice (like using the Quebec stock option deduction, claiming SR&ED credits, or managing QST efficiently) can make a big difference. An accountant who fails to alert you to changes in tax laws or who doesn’t suggest legitimate deductions and credits may be costing you money. Missed tax-planning opportunities – such as not suggesting income splitting where applicable, not planning for installment payments, or ignoring Quebec-specific tax credits – are a clear sign your accountant is reactive, not proactive, crossandco.ca. Over time, this lack of planning can lead to paying more tax than necessary or facing cash flow surprises. If you feel you’re not getting advice on how to improve your financial position (only compliance), it might be time to find someone more forward-thinking.

Failure to Understand Industry-Specific Needs

Every industry and individual situation has unique accounting and tax considerations. If your accountant doesn’t “get” your industry or your specific financial needs, you could be at a disadvantage. You shouldn’t have to constantly explain common industry terms, regulations, or business models to your accountant. For example, a restaurant owner’s accountant should know about tip reporting and food inventory tracking; a construction contractor’s accountant should understand progress billing and subcontractor tax rules; a freelance IT consultant’s accountant should be familiar with software tax credits or ITC rules, and so on. A significant sign of trouble is if you’re constantly explaining how your industry works to themorbacloudcfo.com. This suggests they lack experience in your sector. An accountant not versed in your industry might miss necessary deductions or compliance requirements (e.g. not knowing about e-commerce sales tax rules for online sellers, or the multimedia production credits in Montreal’s tech sector). In fact, around 70% of businesses seek accountants with specific industry knowledge because it leads to better outcomes. If your current accountant has limited expertise in the challenges and opportunities relevant to you – for instance, they don’t know the CRA audit triggers common in your field or aren’t aware of Quebec’s niche tax incentives – you’re likely not receiving optimal service. Consider switching to someone who has a proven track record with similar clients. Your accountant should be able to anticipate industry-specific issues and guide you accordingly, not learn at your expense.

Frequent Errors or Compliance Issues

Everyone can make a mistake, but if errors are becoming a pattern, it’s a serious problem. Frequent accounting errors, mistakes on your tax returns, or discrepancies in financial statements quickly erode trust. Examples might include your accountant consistently entering data incorrectly, using the wrong figures, or making calculation errors. Even seemingly small mistakes (like an incorrect birth date or address on a tax return) can cause big headaches – one Montreal client faced months of hassle because their accountant’s error sent tax assessments to the wrong address. More grave are errors that lead to CRA or Revenu Québec reassessments: misclassifying an expense, missing a T4 slip, or claiming ineligible expenses can all trigger audits or penalties. If you’ve been hit with notices of reassessment or penalties due to your accountant’s work (and not your own omission), that’s a huge red flag. A competent accountant should have robust review processes to catch mistakes and ensure accuracy. Importantly, when errors occur, the accountant should address them promptly and professionally, follow up with the tax authorities, and correct the issue. If, instead, you find they are defensive or, worse, unaware of errors until you discover them, it indicates poor quality control. Also, consider whether your accountant has caused compliance issues, such as failing to comply with new tax rules. For instance, did they ignore the latest CRA e-filing requirements or Quebec’s new tax form updates? Such oversights can be costly. Repeated errors aren’t just frustrating; they could be jeopardizing your financial compliance. Consistent accuracy problems are a sure sign that you deserve a more meticulous professional.

Unexplained Fees or Lack of Transparency

While not every client experiences this, many have horror stories of unexpectedly large bills from their accountant, montrealfinancial.ca. If your accountant’s billing practices are not clear or you’re regularly surprised by the cost, it’s a sign of poor communication at best – or unethical behaviour at worst. You should have a clear understanding of how your accountant charges (hourly vs. flat fee, what tasks incur extra fees, etc.) from the start. If they are charging for every minor email without warning or issuing invoices far above the estimate with no explanation, that erodes trust. Part of an accountant’s job is to set proper expectations about billing montrealfinancial.ca. In Quebec, professional accountants typically provide an engagement letter outlining fees; if yours doesn’t, that’s a concern in itself. Be wary if you see charges that don’t make sense, or if the accountant can’t clearly explain what a charge is for. Similarly, an accountant pushing you into services you don’t really need, to bill more, is acting against your interests. Lack of transparency might also show up in how they report their work – e.g., providing cryptic one-line invoices like “Accounting services – $5,000” without detail. If you feel you’re not getting value for your fees, or if trust around money is broken, it may be time to find someone more transparent. A good CPA will discuss billing openly and ensure no surprises, whereas an untrustworthy one might hide the ball until the invoice arrives.

(If several of these signs resonate with you, it’s probably time to start looking for a new accounting partner. Next, we’ll cover how to find and evaluate a qualified CPA in Montreal who meets your needs.)

How to Find and Evaluate a New CPA in Montreal

Switching accountants can feel daunting, but a systematic approach will help you find a reliable professional who is a better fit. Montreal and Quebec have a well-regulated accounting profession (the Ordre des CPA du Québec oversees chartered accountants), so you have many qualified options. Below is a practical guide to identifying, vetting, and selecting your new accountant, including what credentials to verify, questions to ask, and red flags to watch out for during the process.

Check Credentials and Professional Qualifications

Start by confirming that any accountant you consider is appropriately qualified. In Quebec (as in all of Canada), the gold standard qualification is the CPA designation (Chartered Professional Accountant). A CPA has passed rigorous education and exams and must abide by a code of ethics. Working with a licensed CPA gives you the assurance that they meet national standards for competence and ongoing professional development, crossandco.ca. Always verify a CPA’s status – you can use the Ordre des CPA du Québec’s online directory to look up licensed memberst2inc.cat2inc.ca. A legitimate CPA will also have a CPA number and should be willing to provide it (in fact, refusal to provide their CPA number is a red flag). Be cautious of anyone calling themselves an “accountant” without the CPA designation or professional order membership. In Quebec, only CPAs can perform certain functions, such as auditing or formally compiling financial statements. Non-CPA accountants or bookkeepers can still do basic bookkeeping and tax prep, but they aren’t held to the same standards or insurance requirements. In summary: look for the “CPA” letters after their name and confirm they’re in good standing with the Ordre. This ensures you’re dealing with someone who is regulated, insured, and accountable to a professional body, mackisen.com.

Define Your Needs and Seek Relevant Expertise

Before choosing a new accountant, clarify what services and expertise you actually need. Are you an individual with relatively simple tax needs, a freelancer, or a small business owner with employees and complex filings? Your situation will determine the type of accountant best suited to you. For example, some CPAs specialize in personal tax for individuals, while others focus on small-business accounting, corporate tax, or specific industries such as tech startups or real estate. Identify whether you need basic bookkeeping, full-service accounting, tax planning, payroll, auditing, or advisory services. In Montreal and Quebec, also consider if you need someone familiar with both federal and provincial tax systems – most CPAs are, but if you have, say, cross-border U.S. tax issues, you’d need a specialist. Once you outline your needs, look for a CPA who has experience serving clients like you. Industry experience is particularly valuable: as mentioned, an accountant experienced in your field will understand industry-specific deductions and common pitfalls. For instance, if you run a construction firm, a CPA who has other construction clients will know about the CNESST requirements and subcontractor rules; if you’re an IT consultant, find someone who knows how to handle business-use-of-home claims and GST/QST for services. When researching candidates, don’t hesitate to ask if they have worked with similar businesses or situations. Many accountants list specialties on their websites or profiles (e.g., “specializing in medical professionals” or “experts in e-commerce accounting”). Choosing someone with relevant expertise means less learning curve for them and more tailored advice for you.

What to Look For in a Montreal CPA

Once you have a shortlist of potential accountants, evaluate them against key criteria to ensure a good fit. Here are some essential factors to consider when comparing CPA candidates or firms:

• Professional Designation & Oversight: Confirm they are a CPA. If it’s a firm, ensure at least one partner is a CPA who will oversee your file. This guarantees they meet strict ethical and practice standards. Red flag: No visible CPA certification, or they dodge questions about their qualifications. swaincpa.ca.

• Experience with Similar Clients: Look for someone familiar with the size and sector of your business (or personal financial situation)t2inc.ca. For small and medium-sized enterprises (SMEs), a CPA who routinely works with SMEs in Quebec will understand issues such as GST/QST filings, French-English reporting nuances, and local regulations. If you have international aspects, find a CPA experienced in that too. Red flag: They have no references or case examples in your field, swaincpa.ca.

• Range of Services Offered: Ensure the accountant can provide all the services you require. Some accountants focus solely on tax returns, while others offer bookkeeping, financial statements, tax planning, and advisory services under one roof. If you expect year-round support beyond just annual taxes, confirm that upfront at swaincpa.ca. It’s beneficial if the CPA can also represent you during a CRA or Revenu Québec audit or handle correspondence with tax authorities (many will do this as part of their service). Ensure they will be available year-round, not just during tax season. Red flag: Vague descriptions of services or a focus solely on seasonal tax filing with no strategic support at swaincpa.ca.

• Use of Modern Tools and Security: A high-quality CPA in 2025 should be using up-to-date accounting software and secure digital platforms. This means they might offer a secure client portal, use cloud bookkeeping software (so you can access your data anytime), and leverage e-filing with the CRA/RQ. Ask what software they use for bookkeeping and tax – for example, do they use QuickBooks Online, Xero, or Acomba, and are they comfortable with the latest versions? Also, inquire about data security: they should use encrypted systems and maintain confidentiality. If they’re tech-savvy, it reduces errors and speeds up communication across and co.ca. Red flag: If they insist on doing everything on paper or don’t have secure digital practices (e.g., emailing sensitive information without encryption), that’s concerning.

• Transparent Pricing Structure: Discuss fees early. Reputable CPAs will either charge an hourly rate, a flat fee for defined services, or some combination – but in all cases, they should be able to give a clear estimate or range. In Montreal, fees can vary, but you should know whether bookkeeping is billed separately from tax preparation. Ask whether brief phone calls or emails incur extra charges. A good accountant will explain their billing method and possibly offer packages. Red flag: They avoid the topic of fees, cannot explain what’s included, or (worse) suggest contingent fees like taking a percentage of your tax refund – in fact, charging a fee based on refund amount is illegal for income tax services in Quebec, mackisen.com.

• Communication and Personal Fit: Evaluate how well they communicate. During initial consultations, note if the CPA explains things clearly or drowns you in jargon. You want someone who can break down financial concepts in plain language. Also, consider language preferences – Montreal is bilingual, so ensure your CPA can communicate in English or French as you prefer. The personality fit matters too: you should feel comfortable asking them questions and discussing potentially sensitive financial details. If you prefer more hands-on communication, ensure they’re willing to meet or have periodic calls. Red flag: They seem impatient, condescending, or give confusing answers when you ask basic questions, which won’t improve with time.

• References and Reputation: Don’t skip checking what others say. Look up reviews or testimonials (Google reviews, Facebook, etc.) for the CPA or firm. Consistently positive feedback from businesses similar to yours is a good sign. You can also ask the CPA for references – a competent professional should have satisfied clients who are willing to vouch for them. Additionally, verify whether they’ve had any disciplinary actions (the Ordre des CPA may list them publicly). Red flag: They can’t provide any client references, or you find multiple complaints about missed deadlines or unprofessional behaviours.

These criteria will help you build a holistic picture of each candidate. Trust is paramount in accounting, so take the time to find someone who checks all the essential boxes.

Questions to Ask a Prospective Accountant

Before you make your decision, it’s wise to interview the prospective accountant (or have a detailed conversation) to address any doubts. Prepare a list of questions that cover your concerns and expectations. Here are some essential questions to ask when evaluating a new CPA in Montreal:

• “Are you a licensed CPA in Quebec, and what is your CPA license number?” – This double-checks their credentials and willingness to be transparent. You can verify the number on the CPA Order’s website.

• “Do you have experience with clients in my industry or with needs like mine?” – Gauge their familiarity with your particular situation. For example, ask if they’ve handled tax returns or bookkeeping for businesses of your size, or if they have other clients in your sector. You want specifics, not just “yes, we have experience” – maybe ask them to share an example of a similar client success (without violating confidentiality).

• “Who will be handling my account on a day-to-day basis?” – Inquire if the person you’re meeting will do the work or if it will be delegated to junior staff. Consistency matters; you don’t want to be introduced to a senior CPA only to never hear from them again. If it’s a firm, ask if you’ll have a dedicated point of contact. For instance: Will you personally handle my file, or will it be passed to someone else? And if I have questions during the year, who will answer them? crossandco.ca.

• “What services are included in your fee, and what might cost extra?” – This ensures clarity in the scope of work. Does the fee include both personal and corporate taxes (if applicable)? Does it include bookkeeping adjustments, financial statements, tax planning meetings, responding to CRA/RQ letters, etc.? For any potential extra fees, get an idea of those costs up front at crossandco.ca. For example, some accountants charge an additional hourly rate for CRA audit support; others include some of that in their package.

• “Do you offer proactive advice or periodic reviews throughout the year?” – This will tell you if the accountant is more of a passive number-cruncher or an active advisor. Ideally, you want someone who will check in, perhaps mid-year or quarterly, with tax tips, or who you can consult for big decisions (like buying equipment, hiring employees, etc.). Ask if they do tax planning sessions or business reviews outside of tax season, crossandco.ca.

• “How do you stay up-to-date with tax law changes and new regulations?” – A good accountant will mention continuing professional education, courses, or involvement in professional networks. This is important in a field that changes often (for example, new tax credits in federal or Quebec budgets). Their answer can give you confidence that you won’t miss out on new benefits or get blindsided by rule changes.

• “Will you assist me if I get a CRA or Revenu Québec audit or inquiry?” – This is crucial. Find out what their policy is if the CRA or RQ selects your return for review. Will they handle the correspondence and help you compile responses? Do they charge extra for audit support? Ideally, the CPA should stand by their work and guide you through any audits, crossandco.ca. Many Montreal CPAs are accustomed to dealing with Revenu Québec, which often reviews claims such as the solidarity tax credit and home office deductions, so they should not shy away from this question.

• “What accounting software and tools do you use, and will I have access to my books?” – If you are a small business, this is key. You might want to be on a cloud accounting platform where both you and the accountant can log in. If they use a specific software (say, QuickBooks Online or Acomba), ask if you will have login access or receive regular reports. Modern accountants should be comfortable sharing data digitally while ensuring its security.

• “Can you provide references from other clients?” – As a final check, see how they react. A confident, experienced accountant often has clients who’ve been with them for years and are happy to share feedback. If they hesitate or say it’s not possible, you’ll have to rely on online reviews or your own judgment, but it’s a good sign if they can connect you with a satisfied client (especially one in a similar line of work as yours).

• “Will we have a written engagement letter or contract?” – Professional CPAs will always provide an engagement letter outlining the scope of work, fees, responsibilities, and terms. This protects both parties. Make sure the answer is yes – and if they say “we can just work on trust, no need for formalities,” that is not a good sign. A written agreement is standard practice for clarity and compliance with CPA rules.

These questions cover qualifications, services, process, and contingency scenarios. Pay attention not just to the answers, but how they answer – are they clear and forthright, or evasive? Their responsiveness and clarity at this stage often reflect how they’ll behave once you’re a client.

Red Flags to Avoid When Choosing a New Accountant

As you evaluate candidates, keep an eye out for warning signs. Some red flags might only become apparent during interviews or after seeing a proposal. Here are several to watch for, which should give you pause (if not send you running):

• Promises of unrealistically large refunds or “creative” deductions: Be wary of any tax professional who guarantees they can get you a much bigger refund before even reviewing your information, or who suggests bending rules. For instance, if they say, “I can write off everything and get you a huge refund,” that’s a huge red flag, mackisen.com. Legitimate accountants will maximize deductions but within the law; those who boast about playing fast and loose could land you in trouble.

• Fees based on a percentage of your refund or other unethical fee structures: In Quebec, charging a fee contingent on the tax refund amount is actually illegal for income tax preparers. An accountant suggesting this is either not a licensed CPA or is ignoring professional regulations. Similarly, someone who only takes cash and won’t provide a receipt is not operating above board. Transparent, standard billing is the norm – anything else, be cautious.

• Lack of a CPA designation or refusal to provide proof: If, during your vetting, you discover the person isn’t a CPA (and especially if they implied they were), that’s a sign to walk away. Also, if they won’t confirm they’re a member of CPA Canada/Quebec or get defensive when asked about qualifications, you shouldn’t trust them. There are many unregistered tax preparers – some are fine for very simple tasks, but many others have caused serious filing errors. Since you’re looking for a CPA, stick with someone properly certified.

• No written agreement or reluctance to sign an engagement letter: As noted, professional accountants should issue an engagement letter. If a candidate says it’s not needed or tries to start work without any contract, that’s unprofessional. You might have no recourse if things go wrong. This red flag often pairs with vague service descriptions, which is a recipe for misunderstandings.

• Poor communication from the start: First impressions matter. If they take weeks to reply to your inquiry or you have trouble scheduling a meeting, consider how they’ll behave when you’re a client. An unresponsive or disorganized approach at the outset (lost emails, missed calls, confusion about meeting times) indicates you might be stepping into the same issues you’re trying to escape. A smooth onboarding process is essential.

• No references, reviews, or a questionable reputation: If you can’t find any information about this accountant or firm – no online presence, no reviews, and they won’t provide references – proceed with caution. In Montreal’s connected business community, established professionals usually have some footprint. Also, if you hear negative feedback from others or see bad reviews citing missed deadlines or unprofessional behaviour, don’t ignore it. Trust your gut; switching again in a few months would be a hassle.

• Operating in an unprofessional manner or location: This is more subjective, but take note of their office or mannerisms. Are they meeting you in a proper office space or at a random coffee shop every time? A CPA doesn’t need a fancy downtown office, but they should have a secure and professional setup for handling confidential financial data. If something feels off (e.g., an “office” that’s just a P.O. box or they conduct business solely via WhatsApp with no official email), consider whether they’re operating a legitimate practice (mackisen.com).

• Pressure to make quick decisions or sign up: A trustworthy accountant will understand that you need to think things over. If someone is pushing you aggressively to commit or trying to upsell you on services you didn’t ask for, that’s a concern. You should never feel rushed or bullied into signing an agreement. This ties back to them acting in your best interest – high-pressure sales tactics don’t align with that.

In essence, do your due diligence just as you would for any major professional relationship. The right accountant will not only possess the skills and credentials but will also make you feel confident and informed. By watching for the red flags above, you can avoid trading one bad situation for another.