Entity Setup
Setting Up a Business in 2026: New Registration Rules & Entity Reporting Requirements in Canada
If you're forming a new business now, updated rules for registration access and entity structures could affect your setup—learn what changes you'd need to know.
By NomadicTax Research Team • 6 min read • July 22, 2026
## New CRA Business Registration Online (BRO) Access Change 🎯
Starting **July 14, 2026**, Business Registration Online (BRO) will only be accessible through a CRA account. The CRA mandate requires:
- Signing in using CRA credentials, a Sign-In Partner, or a Provincial partner from British Columbia or Alberta. ([canada.ca](https://www.canada.ca/en/revenue-agency/news/newsroom/tax-tips/tax-tips-2026/businesses-changes-are-coming-way-you-access-business-registration-online.html?utm_source=openai))
- All new business number (BN) and CRA program account registrations to be completed via BRO through your CRA account. ([canada.ca](https://www.canada.ca/en/revenue-agency/news/newsroom/tax-tips/tax-tips-2026/businesses-changes-are-coming-way-you-access-business-registration-online.html?utm_source=openai))
This is part of broader efforts to enhance **service delivery and security**. ([canada.ca](https://www.canada.ca/en/revenue-agency/news/newsroom/tax-tips/tax-tips-2026/businesses-changes-are-coming-way-you-access-business-registration-online.html?utm_source=openai))
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## Required Registration for Digital Economy Services
The June 2026 update to **GST/HST memorandum 2-1** introduced significant changes in who must register under the GST/HST framework. Key points include:
- Updated definition of **taxi business** to align with current transport platform models. ([canada.ca](https://www.canada.ca/en/revenue-agency/services/forms-publications/publications/2-1/required-registration.html?utm_source=openai))
- Addition of information about **prescribed selected listed financial institutions**, reflecting increased regulatory reach. ([canada.ca](https://www.canada.ca/en/revenue-agency/services/forms-publications/publications/2-1/required-registration.html?utm_source=openai))
- Discontinuance of **Form RC1A**, which formerly applied to BN-GST/HST registration for certain businesses. ([canada.ca](https://www.canada.ca/en/revenue-agency/services/forms-publications/publications/2-1/required-registration.html?utm_source=openai))
- New powers for the Minister to register persons who fail to register. ([canada.ca](https://www.canada.ca/en/revenue-agency/services/forms-publications/publications/2-1/required-registration.html?utm_source=openai))
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## Entity Reporting: Directors & Maintenance
If your business undergoes changes—ownership, partners, directors—you must:
- Update the corporation and director information with the CRA
- Provide social insurance numbers (SIN) for directors if not already submitted; essential for accessing CRA portals and authorizing representative access ([canada.ca](https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/business-registration/maintain-business/access-corporate-tax-information.html?utm_source=openai))
- Use My Business Account or Represent a Client portal (or mail where required) to submit necessary documentation—Articles of Amendment, resolution, etc. ([canada.ca](https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/business-registration/maintain-business/access-corporate-tax-information.html?utm_source=openai))
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## Examples of Impact When Setting Up or Changing Entities
| Scenario | What's Changed | What To Do |
|---------|------------------|------------|
| You're forming a business with foreign/non-resident partner(s) | May not be able to use BRO; might need paper forms and additional documentation | Plan ahead, allocate more time for registering; consult province/federal guidelines ([canada.ca](https://www.canada.ca/en/revenue-agency/news/newsroom/tax-tips/tax-tips-2026/businesses-changes-are-coming-way-you-access-business-registration-online.html?utm_source=openai))|
| You used Form RC1A before for GST/HST registration | That form is discontinued; RC1 now covers affected registrations | Confirm which forms apply and follow updated process ([canada.ca](https://www.canada.ca/en/revenue-agency/services/forms-publications/publications/2-1/required-registration.html?utm_source=openai))|
| A corporation changes director | Must supply new director’s SIN, file amendments, and update records for legal and CRA systems to align | Use corporate registry and submit supporting docs to CRA promptly ([canada.ca](https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/business-registration/maintain-business/access-corporate-tax-information.html?utm_source=openai))|
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## Practical Preparation & Checklist
- Create or confirm a CRA account *before* registering your business; ensure credentials verified via Document Verification service. ([canada.ca](https://www.canada.ca/en/revenue-agency/news/newsroom/tax-tips/tax-tips-2026/businesses-changes-are-coming-way-you-access-business-registration-online.html?utm_source=openai))
- Know whether your business is subject to digital-economy GST/HST rules; consult ― especially if operating via platforms or digital sales. ([canada.ca](https://www.canada.ca/en/revenue-agency/services/forms-publications/publications/2-1/required-registration.html?utm_source=openai))
- Gather all required identity and structure information (for directors, partners) ahead of registration deadline.
- Maintain records of organizational changes to avoid non-compliance or delayed access to services and benefits.
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## Summary
Canada has refined its rules around how businesses register, maintain their legal status, and report directors. Whether forming a new entity or changing an existing one, staying updated on these changes will ensure smooth operations, legal conformity, and access to benefits.
Category: Entity Setup
TaxHome: Canada
Author: NomadicTax Research Team
ReadTime: 6 min
Published: true