Starting a new corporation in Ontario is exciting, but it also comes with important paperwork. One of the very first steps after incorporating is filing what’s called an Initial Return in Ontario.
If this is your first time hearing about it, don’t panic—the details will be explained clearly. At the conclusion of this guide, you will be fully aware of what an initial return is, why it’s important, and how to file your Ontario initial return without stress.
What is an Initial Return in Ontario?
When you register a business corporation in Ontario, the corporation is legally obliged to file some specific information about the corporation with the government. The Ontario Initial Return is a return that informs the Ministry of Public and Business Service Delivery about:
- Registered office address of your corporation.
- Names and addresses of your directors.
- Other corporate details.
Consider it your corporation’s formal “hello” letter to the government of Ontario.
Why is the Initial Return Filing so Important?
You may be thinking: “Do I need to file this?”. “Yes!”- is the short reply.
Here’s why.
- It is a statutory requirement for any Ontario corporation.
- It ensures your corporate information is accurate and up to date in the government’s database.
- Failure to file, your corporation could be fined or face compliance problems.
Briefly, if you do not register the opening return in the province of Ontario, your company may face issues later when securing permits, other licenses, or even financing.
Who Must File an Initial Return in the Province of Ontario?
Every Ontario corporation is required to file. That includes:
- New corporations incorporated under Ontario law.
- Non-share companies (like non-profits) formed in Ontario.
- Professional Corporations (such as law or doctor practices).
If recently the company has been incorporated, submitting your first return Ontario is among your first must-do chores.
When Do You Need to File the Initial Return in Ontario?
Very important is the date.
You need to file the first return within 60 days after incorporation.
It’s only two months, so it’s best to do it as soon as possible. Failing to meet the deadline would incur fines, if it affects the corporation’s good standing.
How to File Initial Return in Ontario
Let’s proceed step by step to walk through the process of filing the initial return Ontario.
Step 1: Gather Your Information
- Your corporation name and number.
- Your corporation name and number.
- Registered office address.
- Names and addresses of all directors.
- Information about officer. (if any)
Having this ready simplifies the process of filing and making it quick.
Step 2: Access the Ontario Business Registry
Ontario has taken most corporate filings online through the Ontario Business Registry (OBR). You will access through a ServiceOntario account or a registered service provider.
Step 3: Fill Out the Initial Return Form
Fill in the necessary information:
- Corporate name and number
- Registered office address
- Director information
Verify everything to be precise. Errors can slow the filing or provoke compliance problems later.
Step 4: Submit Your Filing
Once complete, submit the form online. You’ll get a confirmation that your Ontario initial return has been filed successfully.
How Much Does It Cost to File Initial Return Ontario?
Good news: Preparing the initial return Ontario is 99$ only.
What Occurs Next After Filing?
Upon submitting, the government incorporates your details into your corporate registry. It goes into the public record, so your corporation’s fundamentals can be verified by anyone.
Common Mistakes to Avoid
Filing the initial return Ontario corporation sounds simple, but here are a few mistakes people make:
- Missing the 60-day deadline → Always file early to avoid penalties.
- Incorrect addresses → Make sure the registered office is a physical Ontario address (not just a PO Box).
Leaving out directors → Every director must be listed with the correct address.
Commonly Asked Questions About Initial Return Ontario
Can You Update the Information Later?
Yes! If your corporation’s details change (such as a change in office address or director), you are required to lodge a Notice of Change to the Ontario Business Registry. However, keep this in mind, the first return still needs to be filed initially.
Do Federal Corporations Have to File in Ontario?
If you registered as a federal corporation but do business in the province, the regulations are slightly different. You must register as an “extra-provincial corporation” in the province. When you do, you will be mandated to do some filings, such as the initial return of the province of Ontario.
Why Use a Service Provider to File?
Although it is possible to file alone, most business owners would rather use a service provider. Why?
- They double-check that all details are correct.
- They register fast through the registry.
- They monitor deadlines as well as compliance.
For young entrepreneurs, this takes less time as well as stress off.
Myth vs Fact: Filing the Initial Return in Ontario
Even though filing the initial return Ontario is a simple process, many new business owners get confused.
Let’s clear up the most common myths:
Myth 1: Filing the Initial Return Costs Money
Fact: Filing the Ontario initial return directly with the government is free. You only pay if you hire a service provider to file on your behalf.
Myth 2: You Can File Anytime After Incorporation
Fact: You must file initial return Ontario within 60 days of incorporation. Missing the deadline can lead to penalties and compliance issues.
Myth 3: Only Large Corporations Need to File
Fact: Every corporation—big or small—must file the initial return Ontario corporation. This includes non-profits, professional corporations, and startups.
Myth 4: The Initial Return and Annual Return Are the Same
Fact: They are different. The initial return to Ontario is filed once, right after incorporation.
The annual return is filed every year to update your corporation’s information.
Myth 5: If You Forget to File, It’s No Big Deal
Fact: Not filing can cause your corporation to fall out of good standing, affect business licenses, and even result in penalties. It’s always best to file on time.
Conclusion
Incorporating in the province of Ontario is accompanied by paperwork, but submitting the Ontario initial return doesn’t need to be overwhelming.
It’s an easy, hassle-free process that gets your corporation recognized as well as lawful. By timely lodging and keeping your details up to date, you’ll prime your business for easy running and prevent problems further on.
If you’re still in doubt or short-tempered, then think about hiring a reliable service provider to file initial return in Ontario on your behalf. Canada Incorporation Agency will gladly do all the complicated paperwork for you.
In this way, you get to run your business whilst remaining up to date. By this point, chances are that you should be very familiar with the initial Ontario return filing. Remember—file early, file correctly, and your corporation gets off to a great start.
