Entity Setup
Strategic Use of CRA’s Business Registration Online: Entity Setup Simplified
Understanding Canada’s recent shift to online-first business registrations can give you a competitive edge when setting up your entity efficiently.
By NomadicTax Research Team • 5-8 min read • November 23, 2025
## Why the change matters
Effective **November 3, 2025**, Canada Revenue Agency (CRA) will no longer accept Business Number (BN) or program account registrations by phone. Instead, all registrations must be completed through **Business Registration Online (BRO)**. ([canada.ca](https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/registering-your-business/bro-eligibility.html?utm_source=openai)) This shift stems from the CRA’s broader **100-day Service Improvement Plan**, which aims to improve service delivery, reduce call volume, and streamline processes using digital tools. ([canada.ca](https://www.canada.ca/en/revenue-agency/campaigns/100-day-service-improvement-plan.html?utm_source=openai))
## Entity Setup Steps under the new system
| Step | What You Need To Do | Why It's Important |
|------|----------------------|--------------------|
| 1 | Determine your business structure (sole proprietorship, partnership, corporation) and what program accounts you need (GST/HST, payroll, corporation income tax, etc.). | Portfolio of obligations differs by structure. The BN + program accounts identify what CRA expects you to file/pay. |
| 2 | Gather required identity verification: your full name, Social Insurance Number (SIN), date of birth, and postal code. | BRO requires these to confirm identity. Without them, process may fail. ([canada.ca](https://www.canada.ca/en/revenue-agency/services/e-services/digital-services-businesses/register.html?utm_source=openai)) |
| 3 | Register via BRO online: access through “My Business Account” or “Represent a Client” if applicable. | Instant confirmation of BN and program accounts; saves time compared to mail or outdated phone system. ([canada.ca](https://www.canada.ca/en/revenue-agency/news/newsroom/tax-tips/tax-tips-2025/businesses-go-online-register-business-number-cra-program-account.html?utm_source=openai)) |
| 4 | Save or print your confirmation. The BN won’t be mailed or sent separately. | Essential for future filings and interfacing with governmental or banking bodies. ([canada.ca](https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/registering-your-business/bro-eligibility.html?utm_source=openai)) |
| 5 | Once registered, transition to online mail in **My Business Account** for most CRA business correspondence. Ensure email is up to date. | With most correspondence moving digital, you avoid delays or missed notices. ([canada.ca](https://www.canada.ca/en/revenue-agency/news/newsroom/tax-tips/tax-tips-2025/businesses-ready-for-cra-mail-to-go-online.html?utm_source=openai)) |
## Practical Example
Say Sarah wants to set up a consulting corporation in Ontario. Under the new regime:
- She visits BRO through her “My Business Account.”
- Submits personal info (name, SIN, etc.) and selects program accounts: RC (corporate tax), RP (payroll), RT (GST/HST).
- Immediately gets BN: 123456789 and attached types e.g. RP0001, RC0001, RT0001.
- Prints/herds confirmation - no paper mail expected by default.
- All future correspondence like notices, assessments will arrive through the online “Mail” inbox.
## Actionable Tips to Set Up Smoothly
- **Do it before Nov 3 if you’re more comfortable with phone**: After that, phone registration is not possible. ([canada.ca](https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/registering-your-business/bro-eligibility.html?utm_source=openai))
- **Maintain correct contact details** in BRO—and ensure email is current—so CRA can send notices digitally. ([canada.ca](https://www.canada.ca/en/revenue-agency/services/e-services/digital-services-businesses/business-account/about-business-account/online-mail-for-business.html?utm_source=openai))
- **Authorize a representative** if needed via Represent a Client, especially if non-resident ownership or multiple partners. ([canada.ca](https://www.canada.ca/en/revenue-agency/services/e-services/digital-services-businesses/register.html?utm_source=openai))
- **Plan your registration across jurisdictions**, especially if operating in Quebec, which handles GST/HST differently. BRO handles GST/HST except in Quebec. ([canada.ca](https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/gst-hst-businesses/gst-hst-account/register-account.html?utm_source=openai))
## Implications for Planning and Compliance
- Entities must adjust workflows: instead of calling to register, training may be needed for staff or accountants to use BRO.
- Delays from identity verification mistakes can disrupt operations: ensure personal data is accurate.
- Businesses previously relying on phone registrations need to plan ahead to avoid interruptions.
- Recordkeeping sharper: save confirmation PDFs—there will be no mailed confirmation.
## Conclusion
This transition to mandatory online registration via BRO marks a significant modernization of the CRA’s entity setup process. Entities that prepare now—gathering required identity info, opting for online access, and keeping contact records current—will avoid delays, benefit from digital-first correspondence, and streamline ongoing compliance from day one.