Navigating Business Numbers and CRA Program Accounts: A Comprehensive Guide

Starting a business in Canada involves several crucial steps, one of which is obtaining a Business Number (BN) and registering for relevant Canada Revenue Agency (CRA) program accounts. This guide will help you understand when and why you need these registrations and how to go about them.

What is a Business Number (BN)?

A Business Number is a unique, nine-digit identifier assigned to your business or legal entity. It simplifies your interactions with federal, provincial, and municipal governments by acting as a standard identifier.

When Do You Need a BN?

You need a BN if:

• You register a business online through the Business Registration Online (BRO) service.
• You register for any CRA programs such as GST/HST, Payroll deductions, etc.
• You incorporate your business at the federal level.
• You register or incorporate your business in certain provinces like Alberta, British Columbia, Manitoba, and others.

Why Might You Need to Update Your BN?

If your business undergoes changes such as restructuring or ownership changes, you might need a new BN. However, a single business or entity can only have one BN at any given time.

CRA Program Accounts

Depending on your business activities, you may need to register for one or more CRA program accounts:

• GST/HST (RT): For businesses collecting GST/HST.
• Payroll Deductions (RP): For businesses with employees.
• Corporation Income Tax (RC): For incorporated businesses.
• Information Returns (RZ): For filing information returns.
• Registered Charity (RR): For charitable organizations.

How to Register

You can register for a BN and CRA program accounts using the Business Registration Online (BRO) service. Keep your BN handy for all future communications and transactions with the CRA.

Conclusion

Obtaining a Business Number and registering for CRA program accounts are essential steps in managing a business in Canada. These registrations not only fulfill legal requirements but also streamline your business's interactions with various government entities.

For more detailed information and to begin the registration process, visit the Canada Revenue Agency website.