Closing a business isn’t as easy as telling your customers and liquidating stock, there is more to it. You also need to cancel your business name and close your Canada Revenue Agency and tax accounts.
Here are the steps you should follow to close your business properly.
- Cancel your business registration for your sole proprietorship, partnership, or voluntarily dissolve your corporation.
- Use the Change of Business Information on the Service Ontario website to cancel your business name registration for a sole proprietorship or partnership.
- To close a corporation, the appropriate Articles of Dissolution must be submitted to the Companies and Personal Property Security Branch, along with a letter consenting to the dissolution from the Corporations Tax Branch, a covering letter and a $25 fee.
- File your last tax return if you have a dissolved corporation.
- If you have dissolved a corporation, you need to send the Canada Revenue Agency a copy of the Articles of Dissolution when you file the final return for your corporation.
- Close your payroll accounts with Canada Revenue Agency.
- You need to send all CPP contributions, EI premiums, and income tax deductions to your tax centre within 7 days of the day your business ends.
- You also need to complete the necessary T4 slips and T4 Summary and send them to the Ottawa Technology Centre within 30 days of the day your business ends.
- The Canada Revenue Agency also suggests you complete Form RC145, requesting to close business number accounts, and send it along with your final return.
- Close your GST/HST accounts with Canada Revenue Agency.
- Once you have filed all of your outstanding GST/HST returns and paid any outstanding accounts, send Form RC145, request to close business number accounts, to Canada Revenue Agency.
- Cancel any Municipal Business Licenses
- If you have obtained a business license to operate in a town or city, you need to notify the municipality that your business is no longer operating and your licenses should be cancelled.