What should you do if your business stops operating?

When your business stops operating you have to follow these steps:

Step 1

Remit all CPP contributions, EI premiums, and income tax withheld to your tax centre within seven calendar days of the day your business ends. Include a short note that states your Business Number and that you are closing your business.

Step 2

Calculate the pension adjustment (PA) that applies to your former employees who accrued benefits for the year under your registered pension plan (RPP) or deferred profit sharing plan (DPSP). See the Pension Adjustment Guide for more information.

Step 3

You may want to confirm the labour standards of your employee's province or territory of employment to ensure that you have met their requirements.

Step 4

Prepare and give a Record of Employment (ROE) to each former employee.

Step 5

Complete and file the necessary T4 and T4A slips and summaries electronically or send them to the Ottawa Technology Centre within 30 days of the day your business ends. Distribute copies of the T4 or T4A slips to your former employees.

Step 6

Attach a note with the final return asking that the accounts be closed or complete Form RC145, Request to Close Business Number Accounts (BN).

Forms and publications

• Pension Adjustment Guide (T4084)
• Form RC145, Request to Close Business Number Accounts (BN)

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