Canada (federal)
Canada: 1 company type, its taxes, banking and business environment, and what it is known for.
Forming a company
Company types in Canada (federal)
The form a founder can choose here, each with its own figures. Open one for its sources.
What it is known for
Where Canada is in the world’s top 10 on a measure anyone can check, the best rank first. Only the top is shown; a low rank is never stated.
- World’s1stWorld-leading exports Unwrought aluminiumUS$8.3 bn · 10.4% of world exports of 161 exporters · 2024 CEPII BACI, January 2026 release See the top 10
- World’s2ndWorld-leading exports Wheat and meslinUS$7.8 bn · 13.6% of world exports of 133 exporters · 2024 CEPII BACI, January 2026 release See the top 10
- World’s3rdWorld-leading exports Gold (unwrought or semi-finished)Gold (including gold plated with platinum), unwrought or in semi-manufactured forms, or in powder formUS$52.4 bn · 8.9% of world exports of 156 exporters · 2024 CEPII BACI, January 2026 release See the top 10
- World’s6thForeign investment Foreign direct investment received, a year on averageUS$59 bn of 182 economies · 2023–2025 World Bank, World Development Indicators See the top 10
- World’s joint7thLogistics and freight Logistics Performance Index4.0 of 5 of 138 economies · 2022 World Bank, World Development Indicators See the top 12
A rank is among everything the source reports for that year, so it moves when the source adds or drops economies. Exports include goods passing through for re-export. Nothing here is a recommendation.
Doing business here
Business accounts
Providers whose own published list of countries names Canada. A listing means a company formed here may apply, not that it will be accepted.
Not in our records No provider's country list has been read for Canada.
EU listings
Two lists a bank checks when it opens an account for a company or its owner.
- EU high-risk third countries (AML)
- Not listed
- EU non-cooperative jurisdictions for tax purposes
- Not listedOfficial EUR-Lex, 52026XG01465, Annex I as of 2026-02-17
Official sites
The authorities’ own sites for Canada (federal): where to register, file and check.
Blocs and agreements
The trade arrangements Canada belongs to, as each arrangement’s own texts state them: since when, and what each covers. What a membership means for a business is for you to judge.
- United States–Mexico–Canada Agreement
- Free trade area · since 1 July 2020
Covers goods, services, investment, public procurement.
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The United States-Mexico-Canada Agreement (USMCA) entered into force on July 1, 2020.
- Comprehensive and Progressive Agreement for Trans-Pacific Partnership
- Free trade area · since 30 December 2018
Covers goods, services, investment, public procurement.
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any State or separate customs territory may accede to this Agreement, subject to such terms and conditions as may be agreed between the Parties and that State or separate customs territory.
Regional and customs arrangements only, 36 of them; bilateral trade agreements are not yet in our records.
Tax
Company tax
Tax, and what the company owes the registry each year.
- Corporate income tax
- 26%
- Distributions
- Not in our records
- Audit
- A non-distributing corporation's shareholders may resolve not to appoint an auditor, if all shareholders consent; valid until the next annual meeting.Official The registry or ministry page as of 2026-10-10
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The shareholders of a corporation that is not a distributing corporation may resolve not to appoint an auditor.
- Small-company relief
- Not in our records
- Annual obligations
- Not in our records
- Annual registry fee
- CAD 12Official The registry or ministry page as of 2026-10-10
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Business corporations Online It will cost $12 and will take 1 day. How to file: File your annual return
GST
The tax on what the company sells in Canada, and when it must register, as the tax authority states it.
- The tax
- GST/HST (goods and services tax, harmonized with provincial tax in participating provinces)
- Standard rate
- 5%
The federal GST is 5%. HST replaces it at 13% in Ontario, 14% in Nova Scotia and 15% in New Brunswick, Newfoundland and Labrador and Prince Edward Island; Quebec charges the 5% GST plus QST of 9.975%, and other provinces charge the 5% GST plus their own retail sales tax.
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GST/HST and PST rates Province GST and HST PST Alberta 5% 0% British Columbia 5% 7% Manitoba 5% 7% New Brunswick 15% N/A Newfoundland and Labrador 15% N/A Northwest Territories 5% 0% Nova Scotia 14% N/A
- Other rates
- 0% Zero-rated supplies, such as basic groceries
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A zero-rated supply has a 0% GST/HST rate throughout all of Canada. For example, basic groceries are taxable at the rate of zero (0% GST/HST) in every province and territory.
- Registration threshold
- CAD 30,000 · about €19,013
total revenues from taxable supplies in Canada, including zero-rated supplies; a single calendar quarter or four consecutive calendar quarters
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You do not exceed the $30,000 threshold Footnote 1 over four consecutive calendar quarters.
- Voluntary registration
- Yes
A small supplier may choose to register voluntarily if it makes taxable sales, leases or other supplies in Canada.
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You may choose to register voluntarily if you make taxable sales, leases, or other supplies in Canada.
- A foreign company
- The same threshold applies; no local representative required
A non-resident carrying on business in Canada registers under the normal regime only if it makes taxable supplies in Canada and is not a small supplier, so the $30,000 threshold applies to it; a non-resident that does not carry on business in Canada may still have to register under the simplified regime. No representative is required, but a registrant without a permanent establishment must generally give the CRA a security deposit.
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Non-residents who carry on business in Canada must register for the GST/HST under the normal GST/HST regime if they make taxable supplies in Canada and are not small suppliers.
- Returns filed
- Depends on the business
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Assigned and optional reporting periods Annual taxable supplies threshold amounts Assigned reporting period Optional reporting periods $1,500,000 or less Annual Monthly, quarterly More than $1,500,000 up to $6,000,000 Quarterly Monthly More than $6,000,000 Monthly Nil
- Tax authority
- Registration page read 2026-10-22
Tax calendar
When the main returns and payments fall due in Canada, tax year 2025 tax year / fiscal years ending in 2026, as the tax authority states it.
- Corporate tax return
- 6 months after the end of the accounting period · each year
a corporation files its T2 return within six months of the end of its tax year (its fiscal period). Where the tax year ends on the last day of a month, the return is due the last day of the sixth month after that; otherwise the same day of the sixth month. A due date on a Saturday, Sunday or public holiday moves to the next business day. The federal corporate return is filed with the CRA even though the Provinces levy their own corporate income tax on a shared base.
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File your return within six months of the end of each tax year. The tax year of a corporation is its fiscal period. When the corporation's tax year ends on the last day of a month, file the return by the last day of the sixth month after the end of the tax year.
- Corporate tax, final payment
- 2 months after the end of the accounting period · each year
the balance of corporation tax is generally due two months after the end of the tax year. A Canadian-controlled private corporation (CCPC) that meets the conditions — CCPC throughout the year, small business deduction claimed, and the taxable-income/business-limit tests met — has a balance-due day three months after the end of the tax year. The record takes the general two-month rule. A due date on a weekend or public holiday moves to the next business day.
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Generally, all corporation taxes (except Part III and Part XII.6) charged under the Income Tax Act are due two months after the end of the tax year. However, for Parts I, VI, VI.1, and XIII.1 tax, the balance of tax is due three months after the end of the tax year if conditions 1 and 2 that follow are met
- Corporate tax, instalments
- 1 month after the end of the month · each month
a corporation generally pays its income tax in monthly instalments due on the last day of every complete month of its tax year; the first is one month minus a day from the start of the tax year and the rest fall on the same day of each following month. Eligible small CCPCs may pay quarterly instead. No instalments are required where the total of Part I, VI, VI.1 and XIII.1 tax for the previous or current year is $3,000 or less. The record takes the monthly case with the last-day-of-month rule. A due date on a weekend or public holiday moves to the next business day.
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Instalment payments for Parts I, VI, VI.1, and XIII.1 taxes are due on the last day of every complete month of a corporation's tax year. The first payment is due one month minus a day from the starting date of the corporation's tax year. The rest of the payments are due on the same day of each month that follows.
- Personal income-tax return
- 30 April · each year
most individuals file the T1 return for the 2025 tax year on or before 30 April 2026. A self-employed individual (or one whose spouse or common-law partner is self-employed) has until 15 June 2026 to file, but must still pay any balance by 30 April 2026. A due date on a Saturday, Sunday or public holiday recognized by the CRA moves to the next business day. The federal return is filed with the CRA; the Provinces levy their own personal income tax on the shared federal base (Quebec administers its own).
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For most people, the 2025 return has to be filed on or before April 30, 2026, and payment is due April 30, 2026.
- Personal income tax, final payment
- 30 April · each year
an individual must pay any balance owing for the 2025 tax year on or before 30 April 2026, even where the filing date is later (the self-employed filing date of 15 June 2026 does not move the payment). A due date on a weekend or public holiday recognized by the CRA moves to the next business day.
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However, if you have a balance owing for 2025, you must pay it on or before April 30, 2026.
- Personal income tax, instalments
- 15 March · each quarter
an individual pays quarterly income tax instalments on 15 March, 15 June, 15 September and 15 December (farmers and fishers have a single date, 31 December). The record takes the March date as the anchor. Instalments are required where net tax owing is more than $3,000 (Quebec $1,800) for the current year and in either of the two preceding years. A due date on a weekend or public holiday moves to the next business day.
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Tax instalment payments are due by the following dates (except farmers and fishers who have one due date on December 31): March 15 June 15 September 15 December 15
- VAT return
- 1 month after the end of the month · each month
where the reporting period is monthly or quarterly, the GST/HST return and payment are due one month after the end of the reporting period (for a month ending 31 July, the deadline is 31 August). Small registrants (taxable supplies of $1.5 million or less) may file annually, in which case the deadline is three months after the fiscal year end, with a 30 April payment / 15 June filing carve-out for self-employed individuals with a 31 December year end. The record takes the monthly case. A due date on a weekend or public holiday moves to the next business day.
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If your reporting period is monthly or quarterly, your filing and payment deadline is 1 month after the end of the reporting period.
- Payroll withholding
- Day 15 of the following month · each month
a regular remitter (average monthly withholding amount under $25,000) must have its source deductions received on or before the 15th day of the month after the month the employees were paid. A quarterly remitter (AMWA under $1,000, or under $3,000 with a clean record) remits by the 15th of the month after each quarter; accelerated remitters (AMWA $25,000 and above) remit by the 25th and the 10th of the month, or within three working days. The record takes the regular monthly case. A due date on a weekend or public holiday moves to the next business day.
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We have to receive your deductions on or before the 15th day of the month after the month you paid your employees.
Running the company
Running a company here
Not in our records The authorities’ pages on running a company have not been read for Canada yet.
Economy and trade
What it exports
Goods Canada exported, by product, as a share of its goods exports each year. Exports include goods passing through for re-export. A share describes Canada’s own trade; it does not compare places.
| Product (HS heading) | 2022 | 2023 | 2024 | Value, 2024 |
|---|---|---|---|---|
| Petroleum oils and oils obtained from bituminous minerals, crude HS 2709 | 19.8% | 18.5% | 19.0% | US$109 bn |
| Gold (including gold plated with platinum), unwrought or in semi-manufactured forms, or in powder form HS 7108 | 7.9% | 5.4% | 9.1% | US$52.4 bn |
| Motor cars and other motor vehicles principally designed for the transport of persons (other than those of heading 8702), including station wagons and racing cars HS 8703 | 4.7% | 6.6% | 5.4% | US$31 bn |
| Petroleum oils and oils obtained from bituminous minerals, other than crude; preparations not elsewhere specified or included, containing by weight 70 % or more of petroleum oils or of oils obtained from bituminous minerals, these oils being the basic constituents of the preparations; waste oils HS 2710 | 2.7% | 2.6% | 2.6% | US$14.9 bn |
| Parts and accessories of the motor vehicles of headings 8701 to 8705 HS 8708 | 2.0% | 2.3% | 2.2% | US$12.7 bn |
| Petroleum gases and other gaseous hydrocarbons HS 2711 | 3.9% | 2.5% | 1.8% | US$10.3 bn |
| Medicaments (excluding goods of heading 3002, 3005 or 3006) consisting of mixed or unmixed products for therapeutic or prophylactic uses, put up in measured doses (including those in the form of transdermal administration systems) or in forms or packings for retail sale HS 3004 | 1.5% | 1.5% | 1.8% | US$10 bn |
| Other aircraft (for example, helicopters, aeroplanes), except unmanned aircraft of heading 8806; spacecraft (including satellites) and suborbital and spacecraft launch vehicles HS 8802 | 1.1% | 1.6% | 1.7% | US$9.7 bn |
| Turbojets, turbopropellers and other gas turbines HS 8411 | 1.2% | 1.6% | 1.6% | US$9.1 bn |
| Unwrought aluminium HS 7601 | 1.5% | 1.4% | 1.4% | US$8.3 bn |
Total goods exports, 2024: US$573.3 bn. The ten largest headings are shown.