You know that when you start a business you most likely have to register it to get a CRA business number. What you may not know is that you may have to register several CRA business accounts. Keep in mind though that not all businesses need to have a business number. In order to determine this you need to look over all the information for the various types of business accounts there are with the CRA and determine if any of these are applicable to you.
Basically there are five types of accounts dealing with the CRA
The GST/HST program account:
You will need to look this program over to see if you meet any of its criteria and if so then you will need to apply for a business account pertaining to this. This is partly determined on whether you are going to be providing taxable services and property including, zero rated goods or services in the country as an ongoing business and the revenues you generate from this will be over $30,000, for example.
Payroll account:
If you are going to be paying out any type of wages then chances are you will need to register a payroll account.
As with any process that deals with the CRA it can be time consuming and perplexing. After all you are trying to get a business up or running or expanding our current one, and on top of this you have to be sure you are CRA compliant. Your small business accountant can certainly assist you with this.
Your first step is going to be to register your business, and this means you have to provide them with a lot of information.
Corporate income tax account:
If you are going to incorporate your business then your business will automatically be registered with a business number, and a tax account will be opened for you.
Import/Export
With so much business being done online now, it has opened up the business world of import/export. If you are going to be involved in this you may need to register a import-export account with the CRA.
Other program accounts
Of course there is a catch all when it comes to the CRA. If you have some other forms of business then you may also need business accounts for these. For example, registered charities.
It is very important that you review all of the programs that you may be responsible for registering for.
Every new and even established business should have a good quality business accountant that they rely on to help them with their financial recording and reporting responsibilities. This expert can also help you to determine what accounts you need to register for with the CRA.