(437) 561-6272

CPA Quick Support — a licensed CPA on call from $99/month.

Get an instant quote
Who we help · Towing · Accounting

Towing company books that track every call, every day in the yard.

A towing dollar arrives four ways: a card tapped on the shoulder, a motor club's monthly settlement, an insurer's cheque long after the collision, and storage that earns by the day until the vehicle is released. We keep the books on each stream's own terms, per call, per driver, per day in the yard, so the statement shows what the fleet earned rather than what the bank happened to collect.

Flatbed tow truck loading a vehicle

Book the call the day it runs, whoever pays

Every job that clears the dispatch board becomes a revenue entry the same day, coded to the driver who ran it, the truck that rolled and the payer who owes it. Dispatch platforms like Towbook already hold that detail; we map it into QuickBooks Online instead of letting it die in a report nobody reconciles. A cash roadside call, a motor-club job at contract rates and an accident tow billed to an insurer are three different receivables with three different collection speeds, and the books keep them apart from the first entry.

Per-driver revenue is not a vanity report. Percentage pay, fuel habits and damage complaints all attach to a name, and the operator who can put revenue per driver beside cost per driver settles the Friday argument with a printout. Motor-club settlements get reconciled line by line against the calls you actually ran, because club adjustments and missed calls are quiet leaks that only a matched list will catch.

PayerHow we book itWhen the cash lands
Motorist, card or cashRevenue on the day of the call, tied to the dispatch recordSame day, reconciled to the terminal batch
Motor clubEach call at contract rate, settlement matched line by lineOn the club's cycle, net of adjustments
Insurer: accident tow and storageInvoiced at release, receivable aged by insurerWeeks to months later, often after negotiation
Impound storageAccrued per vehicle, per day, at the posted rateAt release or lien sale, and not always in full

Storage earns daily, so the books accrue daily

A vehicle sitting in the compound is earning the posted daily rate whether or not anyone has been invoiced yet, so each unit in the yard carries an accrued receivable that grows with the calendar. We keep a days-in-yard ledger per vehicle, which means month-end revenue includes storage earned, not just storage billed, and the yard's contribution stops hiding inside a lump at release.

The honesty check is collectability. Notice deadlines under Ontario's Repair and Storage Liens Act can limit how much storage a lien actually secures when the owner is never notified, and an abandoned vehicle sold under lien rarely clears the full accrual. So long-stay vehicles carry an allowance, reviewed monthly, and the write-down happens on paper before it happens at auction.

The insurer receivable, aged by name

Accident tows and the storage behind them are usually paid by an insurer, and insurers pay on their own clock, frequently after an adjuster has worked the invoice over. We age those receivables by insurer, not in one blended bucket, so the slow payers are named and the follow-up list writes itself. Since 2024, the itemized invoices the Towing and Storage Safety and Enforcement Act requires have a bookkeeping bonus: a line-by-line invoice that matches the dispatch record is much harder for an adjuster to shave.

When a bill does get negotiated down, we issue a credit note rather than letting the shortfall vanish into a bad-debt guess, so revenue and the HST already remitted both adjust correctly. The tax mechanics of that timing difference sit on our towing tax pages; the accounting job is making sure the file supports them.

Percentage payroll, fuel cards and a finished year-end

Our End-to-End Accounting service puts bookkeeping, payroll, financial reporting and tax filing under one roof, which for a tow operation means drivers on per-call percentages paid through real payroll: source deductions remitted on schedule, T4s in February, WSIB coverage kept current alongside. Fuel cards are coded to the truck that burned the diesel, Dext captures the parts, tire and yard invoices, and the 13% HST on every charge line flows into the return from books that already balance.

Because the file stays current all year, year-end is an event, not a season: the numbers roll into the T2 through Corporate Tax Filing with no catch-up billing. We work with tow operators across Mississauga and the GTA, from multi-truck impound operations to a single flatbed, where CPA Quick Support at $99 a month keeps a CPA on call between filings. Every engagement starts with a free 15-minute discovery call and a written quote.

Common questions

03
Can you work from our dispatch software?

Yes. Platforms like Towbook already record every call with driver, truck and payer attached, and we map that data into QuickBooks Online so the books mirror the board. If dispatch still lives on paper or a whiteboard, we set up a simple capture routine first.

How do you handle storage on a vehicle that is never claimed?

We accrue the posted daily rate per vehicle so the revenue is visible, then carry an allowance on long-stay units because lien sales rarely recover the full balance and Repair and Storage Liens Act notice rules can limit what the lien secures. The statement shows both the earning and the honest expectation.

Do you run payroll for drivers paid a percentage of each call?

Yes, inside End-to-End Accounting. Per-call percentages are calculated from the dispatch data, paid through payroll with source deductions and T4s, and WSIB stays current on the same calendar, so commission pay never turns into a year-end compliance problem.

Keep exploring

03

Automotive & Transport

Every automotive & transport niche we work with.

Visit page

Towing tax services

HST on every charge line, remitted before the insurer pays.

Visit page

Driving school accounting

Prepaid lesson packages and instructor cars, booked properly.

Visit page

See what every call earned

A free 15-minute discovery call, no commitment. Walla replies within two business days, either way.

CPA Ontario
Client stories

Rated 5.0 on Google.

Instant quoteGet pricing in 2 minutes Call us(437) 561-6272