Free Rc145 E Form in PDF

Instructions on Writing Rc145 E

Filling out the RC145 E form is a crucial step for businesses that need to close or cancel one or more of their Business Number (BN) program accounts with the Canada Revenue Agency (CRA). This document serves as a formal request to the CRA, ensuring that your business complies with tax obligations upon closure or alteration of operations. Though the process might seem daunting at first, breaking it down into steps can simplify it. It’s important that this form is filled out accurately to avoid any delays or issues with the closing of your accounts. Below are step-by-step instructions to guide you through completing the RC145 E form.

1. Start with Part A: Enter the legal name of your business, your Business Number (BN), and your business’s mailing address, including the city, province or territory, and postal code.
2. Proceed to Part B if you need to cancel your RT program account for GST/HST purposes. Check the appropriate boxes to indicate which accounts you're canceling, or enter your specific RT account number. Provide a reason for the cancellation and specify the cancellation date using the format YYYY-MM-DD.
3. In Part C, if you wish to close your RP program account for payroll deductions, tick the boxes corresponding to the accounts you're closing or provide your RP account number. If the reason for closing is the same as in Part B, simply tick the box indicating this. Otherwise, specify your reason and provide the closing date in the format YYYY-MM-DD.
4. In Part D, for closing an RC program account related to corporation income tax, you don't need to fill out this part if your corporation was dissolved through federal or specific provincial incorporating authorities. In cases where your business was incorporated in a province not partnered with the CRA, attach a copy of the dissolution certificate or similar document.
5. For closing an RZ program account for an information return in Part E, tick the boxes for the accounts you wish to close or enter the RZ account number. Indicate if the reason is the same as in Part B by ticking the box or provide a specific reason. Enter the closing date in the format YYYY-MM-DD.
6. Finally, in Part F, complete the certification section. Indicate your relationship to the business (e.g., owner, corporate officer), verify your identity (first name, last name, title, and telephone number), and sign and date the form. Ensure your name matches the records the CRA has on file to avoid processing delays.
7. After completing the form, mail it to the Prince Edward Island Tax Centre or the Sudbury Tax Centre. The address can be found at canada.ca/tax-centres. Remember, the form must be sent within six months of the date it was signed.

Correctly filling out and submitting the RC145 E form will ensure that the CRA processes your request to close or cancel your Business Number program accounts without unnecessary delay. This step is essential in managing the compliance of your business with Canada’s tax laws as it undergoes changes or closure.

What is the RC145 E form used for?

The RC145 E form is used for requesting the closure or cancellation of one or more Business Number (BN) program accounts with the Canada Revenue Agency (CRA). It applies to businesses that want to close their GST/HST, payroll deductions, corporate income tax, and/or information return program accounts.

Can I close my CRA program accounts online?

Yes, you can close your CRA program accounts online using "My Business Account" at canada.ca/my-cra-business-account. Authorized representatives can also close program accounts on behalf of a business through "Represent a Client" at canada.ca/taxes-representatives.

Is the RC145 E form necessary for all businesses wanting to close their program accounts?

No, the RC145 E form is not needed if you are a selected listed financial institution (SLFI) for GST/HST or Quebec sales tax (QST) purposes, or both. In such cases, form RC7345 must be used instead. Businesses that have their corporate income tax program account closed automatically by the CRA upon dissolution also do not need to use this form.

What information must be provided on the RC145 E form?

Businesses must provide detailed information including their legal business name, business number (BN), mailing address, and the specific program accounts they wish to cancel or close, along with the reasons for the closure and the closure dates.

What happens if I hold property for commercial activity when closing my GST/HST account?

If you hold property for consumption, use, or supply in commercial activity upon ceasing to be a registrant, it's considered that you disposed of each property (other than capital property) at its fair market value immediately before closing. You must collect and remit GST/HST on that amount on your last GST/HST return.

Are there any specific requirements for closing the payroll deductions program account?

When closing your payroll deductions program account, any deducted or withheld amounts must be remitted within seven days. Additionally, necessary T4 slips and T4 Summary must be sent to the CRA within 30 days of the business ending.

How do I ensure the RC145 E form is processed efficiently?

Ensure that all provided information is correct and complete, and that the individual signing the form has the authority to act on behalf of the business. Also, verify that the CRA has up-to-date and valid information on file for the signatory to avoid processing delays. The form must be sent to either the Prince Edward Island or Sudbury Tax Centre within six months of the signature date to be valid.

Filling out the RC145 E form, a crucial document for closing business number (BN) program accounts with Canada Revenue Agency (CRA), often involves complexities that can lead to errors. One common mistake is not ensuring that the individual signing the form has proper authorization. The form mandates that the signatory must have signing authority for the business, such as being an owner, corporate officer, or an authorized representative. When this detail is overlooked, the form cannot be processed, delaying the account's closure.

Another area frequently mishandled is the provision of accurate business information in Part A. It is vital to double-check that the business name, business number, and mailing address match the CRA's records exactly. Any discrepancy in this information can lead to unnecessary processing delays or the form being returned unprocessed.

In Part B, when cancelling RT program accounts for GST/HST, individuals often fail to correctly indicate which accounts to cancel or forget to provide a cancellation date. It's important to remember that if you’re cancelling all your RT program accounts as a small supplier not required to be registered for GST/HST purposes, the cancellation date should be the day after the last day of a fiscal year, and the business must have been registered for at least one year.

Failure to remit outstanding balances, returns, or remittances up to and including the cancellation date is a critical oversight. The CRA requires all accounts to be settled before any closure can be approved, a detail that some applicants overlook. This includes remitting any GST/HST on property held for consumption, use, or supply in commercial activity immediately before ceasing to be a registrant, as stated in the specific rules for capital property and prepaid expenses.

Part C requires stating a reason for closing RP program accounts for payroll deductions and specifying a closing date. Often, individuals do not realize that if the reason for closing the RP account is the same as that for the RT account, a simple tick in the provided box will suffice. This oversight can cause confusion and delays in processing the form.

Ensuring that all necessary T4 slips and T4 Summaries are sent within 30 days of the business ending, as required in Part C, is another area where mistakes are made. This step is essential for the proper closing of payroll deduction accounts and is easily overlooked by those not familiar with the process.

When closing RC program accounts for corporation income tax, a common error is not understanding the different procedures depending on the incorporating authority. Some individuals fail to send a copy of the instrument confirming dissolution if their business was incorporated with a province not partnered with the CRA. This documentation is crucial for completing the closure process.

Another oversight involves Part E, where individuals need to close RZ program accounts for an information return. Similar to other sections, the reason for the account closure and the closing date must be specified. Failing to do so can halt the process, as every detail is necessary for the CRA to effectively close the account.

Finally, submitting the form within six months of the date it was signed, as required, is often missed. This timeframe is crucial for the CRA to process the form; otherwise, it will not be processed. Ensuring that the form is sent to the correct tax centre listed at canada.ca/tax-centres is an essential step that cannot be overlooked.

When closing business number program accounts using the RC145 E form, individuals and businesses often need to gather and complete additional forms and documents to ensure a thorough and compliant process. The relevance of these forms can vary depending on specific circumstances, such as the nature of the business, the presence of employees, or the type of taxes the business is registered for. Below is a detailed list of forms and documents commonly used alongside the RC145 E form.

• Form RC7345: This form is specifically designed for certain selected listed financial institutions. It is used instead of the RC145 E form when a business is a selected listed financial institution for GST/HST or QST purposes and includes QST information in its RT program account. This delineation ensures that highly regulated financial entities follow the correct procedure tailored to their complex status.
• Form GST44: Election Concerning the Acquisition of a Business or Part of a Business. Businesses transferring assets as part of their closing procedures may use this form. It allows both the seller and the buyer to elect jointly not to apply the GST/HST to the sale of the business or part of the business, under certain conditions.
• T4 slips and T4 Summary: These are necessary when closing payroll accounts (RP program accounts). They report the final remuneration paid to employees and must be submitted within 30 days of the business closure date to account for any deductions or withholdings made from employee wages.
• Articles of Dissolution: Essential for corporations concluding their operations, these documents officially dissolve the corporation and are required when informing the CRA of the closure of a corporation income tax program account (RC program account), particularly for businesses incorporated in jurisdictions not partnered with CRA for business numbering.
• GST/HST Memorandum 2.7, Cancellation of Registration: This memorandum provides detailed guidance on canceling a GST/HST registration, applicable to businesses closing all their RT program accounts. It clarifies the treatment of remaining inventory, capital property, and prepaid expenses at the time of deregistration.
• Copy of the instrument confirming the dissolution: For businesses incorporated in provinces not partnered with the CRA, a copy of the legal instrument (certificate of dissolution, letters patent of dissolution, etc.) must accompany the RC145 E form to close the corporation income tax (RC) program account.
• Representative Authorization: This document is crucial when a representative is authorized to close program accounts on the business’s behalf. Ensuring the CRA has updated and valid representative authorization helps avoid delays or issues in the account closure process.

Completing and gathering these additional documents contributes to a seamless transition through various regulatory and operational hurdles associated with closing business number program accounts. Each document addresses specific considerations that safeguard the interests of the business, its employees, and other stakeholders during the closure process. Taking stock of these documents and understanding their relevance is an essential step toward ensuring compliance and minimizing potential liabilities as businesses transition through closure. Attention to detail in this process reinforces the importance of careful planning and consultation with legal and financial advisors to navigate the complexities of closing business operations effectively.

The RC145 E form mirrors several other documents directed towards the orderly closure or adjustment of business and tax-related affairs. One such document is the IRS Form 966 in the United States, used for reporting a corporate dissolution or liquidation. Both forms serve a regulatory compliance function, empowering businesses to formally notify fiscal authorities of significant structural changes, particularly the conclusion of their operations. However, while the RC145 E is used within the Canadian tax system, overseen by the Canada Revenue Agency (CRA), the Form 966 operates under the jurisdiction of the U.S. Internal Revenue Service (IRS). Each form requires detailed business information and the reason for the dissolution or closure.

Another document bearing similarity to the RC145 E form is the GST44 Election Concerning the Acquisition of a Business or Part of a Business in Canada. This form is filled out when a GST/HST registrant acquires a business or a part of it, allowing for certain tax advantages. The connection to the RC145 E form lies in their mutual aim to manage tax obligations efficiently during significant business transitions. While the GST44 addresses the tax implications of acquiring or transferring business assets, the RC145 E deals with the cessation of business operations and the associated closing of tax accounts.

The form T2054, Election for a Capital Property by a Co-Owner or Partner, also aligns closely with the RC145 E. It is utilized when co-owners or partners in Canada choose to transfer capital property, aiming to reorganize their business structure or operations. The similarity with the RC145 E revolves around the focus on taxation and business transformation events. Both forms navigate through the tax implications of significant transitions, ensuring that the parties involved meet their reporting and tax obligations while undergoing changes in business ownership or structure.

Additionally, the RC7262, Application to Register and Deregister for the GST/HST, closely parallels the RC145 E form. It deals with the registration or deregistration of a business for GST/HST purposes, facilitating enterprises in starting or ending their GST/HST tax account based on their taxable sales threshold. Like the RC145 E form, it is essential for ensuring that businesses comply with the GST/HST registration requirements, reinforcing the theme of regulatory adherence during operational transitions.

The Statement of Termination or Transfer of an Interest in a General Partnership form, specific to certain provinces in Canada, shares the basis of reporting significant modifications within a business' operational status, similar to the RC145 E form's purpose. This particular document is critical for notifying regulatory bodies about the dissolution of a partnership or the change in partnership interest, which indirectly affects tax obligations and account status with the CRA, mirroring the fundamental objective of the RC145 E form to communicate crucial changes affecting tax and legal standings.

Last but not least, Form T2, Corporation Income Tax Return, though primarily meant for annual income tax reporting by corporations, shares a nuanced similarity with RC145 E regarding its role in the administrative lifecycle of a corporation. In cases where a corporation is dissolving, the final T2 return becomes a critical document for declaring the culmination of corporate activities to the CRA, analogous to how RC145 E is employed to terminate various business number program accounts associated with the corporation.

Together, these documents underscore the comprehensive approach taken by tax authorities to manage and record the lifecycle events of businesses, ensuring accountability, transparency, and compliance with tax laws and regulations. Each form, while serving distinct purposes, contributes to a regulatory ecosystem that supports orderly business conduct and closure within Canada's economic landscape.

When filling out the RC145 E form to close Business Number (BN) program accounts with the Canada Revenue Agency (CRA), it's crucial to follow the guidelines precisely to ensure accurate processing and avoid any unnecessary issues. Here are the do's and don'ts:

• Do check if you can close your CRA program accounts online through My Business Account or Represent a Client, as this might be a faster option.
• Do verify if you are a selected listed financial institution (SLFI) for GST/HST or QST purposes, as you'll need to use a different form (RC7345) in such cases.
• Do provide all requested information in Part A – Business Information accurately to avoid delays.
• Do carefully decide which program accounts you need to cancel in Part B for GST/HST, ensuring you understand the implications of cancellation.
• Do submit any outstanding returns, remittances, or balances due up to and including the cancellation date for GST/HST accounts.
• Don't forget to remit any money deducted or withheld at source for payroll deductions (RP accounts) within seven days and send the necessary T4 slips and T4 Summary within 30 days of business closure.
• Do ensure you have signing authority for the business before signing the form in Part F – Certification to avoid the form being returned, unprocessed.
• Don't use this form to close or dissolve a corporation that has amalgamated or plans to amalgamate. Instead, seek alternative procedures.
• Don't delay sending the filled form to the Prince Edward Island Tax Centre or the Sudbury Tax Centre; it must be sent within six months of the date it was signed to be processed.

Following these guidelines will help facilitate a smooth process in closing your Business Number program accounts with the CRA.

There are several misconceptions about the RC145 E form, which is used to close business number program accounts with the Canada Revenue Agency (CRA). Let's clarify a few of these to help understand the form better.

• Only businesses closing down need to use the RC145 E form. This is not true. The form is also required for businesses that are restructuring, such as those changing their type of registration or those eliminating a part of their business that requires a specific CRA program account.

• The RC145 E form can close all types of business accounts. The form is specific to closing business number (BN) program accounts like GST/HST, payroll, corporate income tax, and information return accounts. It cannot be used to close a business number itself or accounts not listed in the form, such as import/export accounts.

• You can use the RC145 E form even if you are a selected listed financial institution. This is incorrect. Selected listed financial institutions for GST/HST or QST purposes need to use form RC7345, not the RC145 E form, to close their business number program accounts.

• It's okay to delay sending the RC145 E form after deciding to close accounts. Delaying could result in unnecessary charges or penalties. It's important to send the form within six months of the date it was signed, and returns, remittances, or balances owing must be sent up to and including the cancellation date.

• Anyone associated with the business can sign the RC145 E form. Actually, only an individual with signing authority, such as an owner, corporate officer, or an authorized representative, can sign this form. Moreover, the form stresses that it won't be processed if the signer's name doesn't match the one in CRA's records.

Understanding these details helps to ensure the correct use of the RC145 E form, reducing errors and delays in closing CRA program accounts.

When it comes to managing the closure of various business program accounts with the Canada Revenue Agency (CRA), the Rc145 E form serves as a critical tool for business owners and authorized representatives. Here are six key takeaways regarding the filling out and use of this form:

• The form enables the cancellation of one or more business number (BN) program accounts, such as GST/HST (RT), payroll (RP), corporate income tax (RC), and information returns (RZ).
• Businesses can close their CRA program accounts online through My Business Account or Represent a Client, but the Rc145 E form is available for those who choose or need to submit their request on paper.
• It is crucial not to use this form if your business is a selected listed financial institution for GST/HST or QST purposes or has an RT program account that includes QST information. For these cases, a different form (RC7345) should be used.
• Part A of the form collects basic business information such as the legal name, business number, and mailing address, essential for accurately processing the request.
• In completing the form, the business must specify which program accounts they wish to close, provide a reason for the cancellation, and indicate the effective date of closure. This information is necessary for Parts B, C, D, and E, corresponding to different program accounts.
• The form includes a certification section (Part F), which requires a signature from an individual with signing authority for the business. This step is vital to authenticate the request and authorize the CRA to proceed with the account closures.

Overall, the Rc145 E form is a structured approach for businesses to ensure their CRA program accounts are closed properly, helping to avoid potential complications or misunderstandings with tax obligations and account statuses.