Guide to RC1 Business Number Registration

If you are starting a business in Canada, one of the first things you need is a Business Number (BN) from the Canada Revenue Agency. The BN is a unique 9-digit number that identifies your business to the federal government. It is your key to opening CRA program accounts for GST/HST, payroll, importing and exporting, and corporate income tax.

Form RC1, officially titled "Request for a Business Number and Certain Program Accounts," is the paper form you can use to apply for your BN and register for these accounts at the same time.

What Is a Business Number?

Quick tip: download the official form first, then fill it while following this guide: Download official form (IRCC forms library).

The Business Number is a standard identifier used by the CRA and other federal, provincial, and municipal government programs. Think of it as a Social Insurance Number for your business. Every business in Canada that deals with the CRA needs one.

Your BN stays the same for the life of your business, even if you add or remove program accounts. Each program account has its own extension added to the BN. For example:

• RT for GST/HST accounts (e.g., 123456789RT0001)
• RP for payroll deductions accounts
• RM for import/export accounts
• RC for corporate income tax accounts

Who Needs a Business Number?

You need a BN if your business falls into any of the following categories:

• You need to charge and collect GST/HST (revenue over $30,000 or voluntary registration).
• You have employees and need to remit payroll deductions (CPP, EI, income tax).
• You import or export goods.
• You have incorporated your business and need a corporate income tax account.

Sole proprietors and partnerships that do not meet any of these criteria technically do not need a BN, but many choose to get one anyway for professional reasons.

When to Use Form RC1

You can register for a BN either online through the CRA's Business Registration Online service or by submitting Form RC1. The online option is faster, but you might prefer Form RC1 if:

• You are unable to use the online system due to identity verification issues.
• You want to submit supporting documents along with your application.
• You are registering a non-resident business.
• You prefer paper-based applications.

You can download Form RC1 from the CRA's RC1 form page.

Step-by-Step Guide to Completing Form RC1

Part A: Business Identification

This section collects basic information about your business:

Legal name of the business: For sole proprietors, this is your personal legal name. For corporations, it is the legal name on your articles of incorporation. For partnerships, it is the partnership name.

Operating or trade name: If you operate under a different name than your legal name (a "doing business as" name), enter it here. For example, if your legal name is "John Smith" but you run "Smith's Plumbing," enter the trade name here.

Business address: Enter the physical address of your main place of business. This is where the CRA will send correspondence. A post office box is acceptable if that is your mailing address.

Type of business entity: Check the appropriate box: sole proprietorship, partnership, corporation, or other. This determines some of the program accounts available to you.

Business activity description: Describe what your business does in a few words. Be specific. Instead of "consulting," write "information technology consulting services." The CRA uses this to classify your business by industry code.

Part B: Owner/Director Information

This section identifies the people behind the business:

• Sole proprietors: Enter your personal details, including your SIN, date of birth, and contact information.
• Partnerships: List all partners with their SINs (or BNs if the partner is a corporation).
• Corporations: List all directors with their personal information.

The CRA uses this information to link your business to your personal tax records and to verify your identity.

Part C: Program Account Registration

This is where you select which CRA program accounts you want to open along with your BN. You can register for one or more of the following:

GST/HST Account (RT)

Check this section if you need to register for GST/HST. You will need to provide:

• Your effective date of registration (the date you started charging or plan to start charging GST/HST).
• Your expected annual revenue.
• Your fiscal year end for GST/HST purposes.
• Your preferred reporting period (annual, quarterly, or monthly).

For a detailed guide on GST/HST registration, see our article on how to apply for a GST/HST number.

Payroll Deductions Account (RP)

If you have employees, you must register for a payroll deductions account. You will need to provide:

• The date you will start paying employees.
• The number of employees.
• How often you pay them (weekly, biweekly, semi-monthly, or monthly).

Import/Export Account (RM)

If your business imports or exports goods, you need this account. The Canada Border Services Agency (CBSA) uses the same BN to process your shipments.

Corporate Income Tax Account (RC)

This account is created automatically when you incorporate a federal corporation. If you incorporated provincially, you may need to register for this account manually through Form RC1.

Submitting Form RC1

Once you have completed the form, you can submit it by:

• Mail: Send it to the CRA tax centre that serves your area. The address is listed on the form and on the CRA tax centres page.
• Fax: Fax it to the number listed on the form for your region.
• In person: Bring it to a CRA tax services office near you.

Processing by mail can take several weeks. If you need your BN quickly, consider using the online Business Registration Online service instead, or call the CRA business line at 1-800-959-5525 to register by phone.

After You Receive Your Business Number

Once the CRA assigns your BN, you will receive a confirmation letter with your number and the program accounts you registered for. Here is what to do next:

• Set up CRA My Business Account: This online portal lets you manage your accounts, file returns, make payments, and view correspondence. Register at the CRA My Business Account page.
• Start collecting GST/HST: If you registered for a GST/HST account, begin charging the applicable tax on your sales immediately.
• Set up payroll: If you have employees, ensure your payroll system is configured to deduct and remit CPP, EI, and income tax correctly.
• Keep records: The CRA requires you to keep business records for at least six years. Good record-keeping makes tax filing easier and protects you in case of an audit.

Tips for Newcomer Business Owners

Starting a business as a newcomer in Canada can feel overwhelming, but the process is well-structured. Here are some tips:

• Register your business name with your province or territory before applying for a BN, if required.
• Consider getting professional advice from an accountant or business advisor, especially for choosing your business structure.
• Take advantage of free resources from organizations like Canada.ca's Starting a Business page and local small business development centres.

Our guide on starting a business as a newcomer provides more details on business structures, permits, and other important steps. You may also want to read about filing your first Canadian tax return to understand your personal tax obligations alongside your business ones.

WelcomeAide is here to support newcomers navigating important life events in Canada. Use our AI Newcomer Navigator for personalized guidance, explore our blog for more newcomer resources, learn about our mission, or discover how to get involved in supporting newcomer communities across Canada.

Download This Form

Before you submit anything, download the latest official file here: Download official form (IRCC forms library). Always use the latest version.

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Official external resources

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