After incorporating your business, the first and foremost task would be to open a business bank account. Why has there been a need to have a business account? As we had mentioned in the earlier blog, once after you did incorporation, you created a new legal entity. Now you need a separate business bank account for that entity under a new business name.
TIP: Keep your personal and business funds separate to fully enjoy the advantages of incorporation.
After finishing the business bank account, each shareholder must deposit money into the account to pay for their shares. For a new business after incorporation, the shareholder usually pays a nominal amount listed in the minute book documents.
The last part of housekeeping is to determine whether or not you will register for GST or HST number. If you earn over $30,000 a year, you must register for GST and HST numbers and charge your customers accordingly.
Check out our blog to further learn more about GST & HST sales tax in Canada.
Register for GST or HST numbers early instead of waiting to reach $30,000 to get tax credits for business expenses. It will also help you to get a tax refund at the end of the year.
Every business that has incorporated must learn about ongoing corporate maintenance. Once you have established a company, it is crucial to maintain and organize essential paperwork and records. This is necessary to benefit from legal and tax advantages, as well as to ensure compliance with the law.
Keeping company documents organized is the only thing needed for ongoing corporate maintenance, and it’s easy to do. You can do it with a paper binder or online at BG Accounting and Business Solutions using a secure minute book.
PRO TIP: You can check your online minute book anytime with your mobile phone remotely.
After organizing company documents, update business details by adding a new director or changing the company address. You should file forms with the government and corporate to prepare resolutions that officially approve the company changes. if you fall short of filing your annual returns, the government can dissolve your company legally.
We need to make all these changes quickly in the business. Luckily BG Accounting and Business Solutions can take care of all the corporate paperwork through the automated platform after incorporation.
At last, your company needs to file an annual return and associated fees with the government. To stay compliant with the law, you also need to prepare mandatory documents such as annual shareholder resolution and director resolution. Remember, if you fall short of filing your annual returns, the government can dissolve your company legally.
That’s where BG Accounting and Business Solutions come to the rescue of the businesses in Ontario. Get a free consultation from our experts to handle annual returns, taxes, bookkeeping, post-incorporation tasks, and more.
The tax season is here, let us save you big money by paying less in taxes.