CRA Business Number in Canada — What It Is, How to Register & Everything You Need to Know

In This Guide:

• 1. What Is a CRA Business Number?
• 2. The 4 Program Accounts Linked to Your BN
• 3. Who Needs a CRA Business Number?
• 4. Step-by-Step: How to Register for a Business Number
• 5. GST/HST Registration — When It Is Required
• 6. Payroll Deductions Account (RP) — When to Register
• 7. Import/Export Account (RM) — Who Needs It?
• 8. CRA Business Number for Non-Residents & Indian Immigrants
• 9. Common Mistakes to Avoid
• 10. Frequently Asked Questions (10 Q&As)

1. What Is a CRA Business Number?

A CRA Business Number (BN) is a unique 9-digit number issued by the Canada Revenue Agency (CRA) to identify your business for all federal tax purposes in Canada. Think of it as your business’s social insurance number — except it identifies your business entity rather than you as an individual.

Your Business Number is the master account from which all your federal tax program accounts branch out. Once you have your 9-digit BN, you add 2-letter program identifiers and a 4-digit reference number to activate specific accounts:

Format	Example	What It Means
9-digit BN	123456789	Your master Business Number — never changes
BN + RC0001	123456789 RC0001	Your corporate income tax (T2) account
BN + RT0001	123456789 RT0001	Your GST/HST account — the ‘GST number’ vendors ask for
BN + RP0001	123456789 RP0001	Your payroll deductions account
BN + RM0001	123456789 RM0001	Your import/export account for CBSA customs

Key Point: Your Business Number (BN) itself is just the 9-digit identifier. The program accounts (RC, RT, RP, RM) are activated separately based on what your business does. All flow from the same BN — one number, multiple accounts.

2. The 4 Program Accounts Linked to Your CRA Business Number

Here are the four federal tax program accounts that are linked to your CRA Business Number — with details on who needs each one:

Account	BN Extension	Who Needs It	Threshold / Trigger	What It Covers
Corporate Income Tax	RC0001	ALL Canadian corporations	Mandatory — Day 1 of incorporation	T2 corporate return filed annually within 6 months of fiscal year end
GST/HST	RT0001	Businesses with $30,000+ revenue in 4 consecutive quarters	Mandatory above $30K; voluntary below	Collect and remit GST/HST on taxable supplies; claim Input Tax Credits (ITCs)
Payroll Deductions	RP0001	Businesses with employees in Canada	Required before first payroll run	Source deductions: CPP, EI, income tax withheld from employee wages
Import/Export	RM0001	Businesses importing/exporting goods	Required for CBSA customs clearance	Customs account for clearing goods at Canadian border; CBSA requires this

3. Who Needs a CRA Business Number in Canada?

• All Canadian corporations (federal and provincial) — mandatory from Day 1 of incorporation
• Partnerships that register for GST/HST or have employees
• Sole proprietors whose revenue exceeds $30,000 (GST/HST registration triggers BN)
• Non-resident businesses selling taxable services or goods in Canada
• Any business that imports or exports goods through Canadian customs (CBSA)
• Any business that hires employees and must remit payroll source deductions to CRA

Note: A sole proprietor operating under $30,000 revenue with no employees and no imports/exports does not legally require a BN — but DKP Global recommends voluntary registration for early GST/HST registration (to claim ITCs) and future-proofing.

4. Step-by-Step: How to Register for a CRA Business Number

Step	Action	Details	Time / Cost
1	Incorporate Your Business	You must have a Canadian business entity (corporation, partnership, or sole proprietorship) before registering for a BN. Most common: BC or Ontario Corporation.	1–3 days | $200–$350
2	Go to CRA Business Registration Online	Visit canada.ca/en/revenue-agency — use Business Registration Online (BRO) or register by phone at 1-800-959-5525. Online is instant; phone takes up to 5 business days.	Free | Instant online
3	Complete Registration Form	You will need: legal business name, business address in Canada, nature of business (NAICS code), fiscal year end date, and contact information. DKP Global prepares all of this for you.	~20 minutes
4	Receive Your 9-Digit BN	CRA assigns your Business Number immediately upon online registration. Your BN will be in the format: 123456789 (9 digits). Save this — it is your permanent tax identifier.	Instant (online)
5	Activate Program Accounts	Immediately activate: RC (Corporate Tax) account. Activate RT (GST/HST) if eligible. Activate RP (Payroll) when you hire employees. Activate RM (Import/Export) if importing/exporting goods.	Same session | Free

DKP Global registers your CRA Business Number and all required program accounts as part of every incorporation package. You receive your BN and all account confirmations within the same day as incorporation in most cases.

5. GST/HST Registration in Canada — When It Is Required

GST/HST is Canada’s federal goods and services tax. The rate and administration varies by province. Once you register for GST/HST (RT account), you must collect the applicable rate on taxable supplies and remit to CRA after claiming Input Tax Credits (ITCs) on your business expenses.

Province	Tax Type	Rate	Administered By	Notes
Ontario	HST	13%	CRA	Harmonized — one registration with CRA covers both federal + provincial
British Columbia	GST + PST	5% + 7%	CRA (GST) + BC Gov (PST)	Two separate registrations: CRA for GST, BC Ministry of Finance for PST
Alberta	GST only	5%	CRA	Alberta has no provincial sales tax — only federal GST applies
Quebec	GST + QST	5% + 9.975%	CRA + Revenu Quebec	QST registered separately with Revenu Quebec — two registrations required
Nova Scotia	HST	15%	CRA	Highest HST rate in Canada — single CRA registration
Manitoba	GST + RST	5% + 7%	CRA + Manitoba Finance	Retail Sales Tax (RST) administered by Manitoba — two registrations

The $30,000 Threshold — What You Need to Know

• Mandatory registration: Revenue exceeds $30,000 in any 4 consecutive calendar quarters
• You have 29 days from the date you cross $30,000 to register — penalties apply for late registration
• Voluntary registration: Allowed below $30,000 threshold — recommended to claim ITCs immediately
• Small supplier exemption: Certain businesses (charities, public sector) have different rules
• Non-residents: May need to register even below $30,000 if supplying services to Canadian consumers

DKP Recommendation: Register for GST/HST voluntarily from Day 1 — even if revenue is below $30,000. You can immediately claim ITCs on all startup expenses (equipment, software, office, professional fees) and offset your GST/HST obligations. The tax recovery often exceeds the compliance cost.

6. Payroll Deductions Account (RP) — When to Register

If your Canadian business hires employees, you must register for a Payroll Deductions Account (RP) with CRA before running your first payroll. This account is used to remit source deductions — employee and employer CPP contributions, EI premiums, and income tax withheld from employee wages.

• Register for RP account: Before the first payroll run — no exceptions
• Remittance frequency: Depends on average monthly withholdings (Regular remitter: by 15th of following month)
• Penalties: 3% for 1–3 days late; 5% for 4–5 days late; 7% for 6–7 days late; 10% for 8+ days late
• T4 slips: Issue to all employees by last day of February each year
• T4 Summary: File with CRA by last day of February each year

DKP Global manages your payroll compliance — RP account setup, remittance schedules, T4 preparation, and CRA filings — as part of our accounting and payroll services.

7. Import/Export Account (RM) — Who Needs It?

If your business imports goods into Canada or exports goods from Canada, you need an Import/Export Account (RM) linked to your BN. This account is required by the Canada Border Services Agency (CBSA) for customs clearance.

• Required for: importing commercial goods into Canada for resale or use in business
• Required for: exporting commercial goods valued over $2,000 from Canada
• Not required for: service-based businesses with no physical goods crossing the border
• Not required for: importing personal effects or goods for personal use
• Registration: Done through CRA Business Registration Online or by calling CBSA directly at 1-800-461-9999

8. CRA Business Number for Non-Residents & Indian Immigrants

DKP Global specializes in CRA Business Number registration for non-residents and Indian immigrants setting up Canadian businesses. Here is exactly what you need to know:

Status	Can Get BN?	Best Province to Incorporate	Notes
Indian Resident (not in Canada)	YES	BC or Ontario (no Canadian director required)	DKP provides Canadian registered office address — required for CRA registration
NRI on Visitor Visa	YES	BC — easiest, same-day online	Can incorporate and get BN — cannot actively work in Canada
Work Permit Holder	YES	BC or Ontario	Can own and operate company — may need self-employment authorization
Permanent Resident / Citizen	YES	Any province	Full rights — register online at canada.ca immediately after incorporation

What Non-Residents Need to Register for a BN

• A valid, incorporated Canadian business entity (BC or Ontario Corporation — no Canadian director required)
• A Canadian registered office address — DKP Global provides this as part of every incorporation package
• Valid passport and business information (name, NAICS code, fiscal year end)
• No Canadian SIN required — CRA uses your business information for non-resident registration
• No visit to Canada required — full registration done online or by phone

FEMA Compliance Reminder for Indian Residents

• If you are an Indian resident investing in a Canadian corporation, file Form ODI with your AD Bank before remitting funds
• Comply with LRS (Liberalised Remittance Scheme) for outward remittances
• Declare Canadian business income in your Indian ITR — India-Canada DTAA prevents double taxation

DKP Global handles both your Canadian CRA registration AND your Indian FEMA compliance for ODI — the only firm covering both ends of the India-Canada business setup.

Need Help with CRA Business Number Registration? DKP Global — ACCA-UK & CS Certified | 250+ Businesses Set Up | India · Canada · USA dkpglobal.org/company-registration-canada/ | +1-672-833-4342 | info@dkpglobal.org | WhatsApp

9. Common Mistakes to Avoid with Your CRA Business Number

• Not registering for GST/HST until CRA audits — by then penalties and back-taxes apply
• Confusing your BN (9 digits) with your GST number (BN + RT0001) — both are needed but are different identifiers
• Missing the 29-day GST/HST registration deadline after crossing $30,000 threshold — CRA calculates interest from the date you should have registered
• Not setting up payroll RP account before first employee payroll — late payroll remittance penalties are steep (3–10%)
• Using your personal SIN for business tax filings — always use your BN for corporate filings
• Forgetting to update your BN program accounts when business activities change (e.g., starting to export goods — activate RM account)

Ready to Register Your Canadian Company and CRA Business Number? DKP Global provides complete incorporation and CRA registration services — one team, no handoffs | +1-672-833-4342 | WhatsApp

Frequently Asked Questions — CRA Business Number