Exiting Your Business? Make Sure You Close Your Tax Accounts Correctly.
If you decide to close your business and you have a Business Number (BN), you will have to complete certain forms before Canada Revenue Agency will close your account(s).
Each business account has its own remitting and filing obligations:
- Payroll. You must remit all Canada Pension Plan (CPP) contributions, Employment Insurance (EI) premiums, and income tax deductions to the Canada Revenue Agency (CRA) within seven days terminating your business. You also need to complete and file the T4 and T4A slips and summaries electronically, or send them to the Ottawa Technology Centre within 30 days of terminating your business. Attach a note with your final return asking that the account be closed or complete Form RC145, Request to Close Business Number accounts.
- Closing Your PST Account. Refer to Closing Your PST Account Form.
- Corporate income tax. When you want to permanently dissolve your corporation, you should send an application for dissolution to the government body that governs the affairs of your corporation. You should also file a final return and send CRA a copy of the articles of dissolution. Otherwise, CRA considers that the corporation still exists, and it will have to file a return even if there is no tax payable.