Modern lubrication systems are increasingly deploying smart (functional) materials. These respond to various external stimuli including electrical and magnetic fields, acoustics, light etc. Motivated by such developments, in the present article unsteady electro-magnetohydrodynamics (EMHD) squeezing flow and heat transfer in a smart ionic viscous fluid intercalated between parallel plates with zeta potential effects is examined. The proposed mathematical model of problem is formulated as a system of partial differential equations (continuity, momenta and energy). Viscous dissipation and variable thermal conductivity effects are included. Axial electrical distribution is also addressed. The governing equations are converted into ordinary differential equations via similarity transformations and then solved numerically with MATLAB software. The transport phenomena are scrutinized for both when the plates move apart or when they approach each other. Also, the impact of different parameters such squeezing number, variable thermal conductivity parameter, Prandtl number, Hartmann number, Eckert number, zeta potential parameter, electric field parameter and electroosmosis parameter on the axial velocity and fluid temperature are analyzed. For varied intensities of applied plate motion, the electro-viscous effects derived from electric double-capacity flow field distortions are thoroughly studied. It has been shown that the results from the current model differ significantly from those achieved by using a standard Poisson-Boltzmann equation model. Axial velocity acceleration is induced with negative squeeze number (plates approaching, S< 0) in comparison to that of positive squeeze number (plates separating, S>0). Velocity enhances with increasing electroosmosis parameter and zeta potential parameter. With rising values of zeta potential and electroosmosis parameter, there is a decrease in temperatures for U_e>0 for both approaching i. e. squeezing plates (S < 0) and separating (S >0) cases. The simulations provide novel insights into smart squeezing lubrication with thermal effects and also a solid benchmark for further computational fluid dynamics (CFD) investigations.