Ontario Taxes and Business Registrations

No - If your company intends to operate under your legal corporate name, then you do not need to register your business.

Yes - If your company intends to operate under a name other than its legal corporate name, then you must register this name under the Business Names Act. For example, if your corporate name is ABC Ltd. and you wish to open a restaurant called ABC Diner, then the latter name must be registered. The name you register cannot have any of these legal elements: "Limited", "Limitée", "Incorporated", "Incorporée", "Corporation", "Ltd.", "Ltée", "Inc." or "Corp." within the name. As well, if you are entering into a partnership or sole-proprietorship you will need to register your business name.

Master Business License (MBL) - You will obtain an MBL valid for 5 years upon registration.

Business Identification Number (BIN) - You will be issued with a BIN by the Companies and Personal Property Security Branch (CPPSB).

GST/HST - Effective July 1, 2010 Ontario has moved to a harmonized sales tax thus eliminating the PST. Instead, your corporation will apply for GST/HST. The HST will be applied on most supplies of goods and services made in Ontario at a rate of 13%, consisting of the 5% federal portion and an 8% provincial portion.

Definition - The BN is issued by the Canada Customs and Revenue Agency (CCRA) and is used to unify all accounts a business may have with the federal government.

Purpose: The BN is used to operate corporate income tax, import/export accounts, payroll deductions and GST/HST.

Procedure - Within 60 days of commencing business in Ontario, the corporation must file an Initial Return complete with a photocopy of the most recent Articles of Incorporation in order to receive an Ontario Corporation Number.

One Form - IncorpDirect will prepare the relevant forms and submit them to the government for processing on your behalf. You will just have to fill out ONE form. To apply, please click here.