Worldwide
Setting up a company in Canada
Next door to the US market, predictable law, strong R&D incentives. Federal or provincial is the first decision.
At a glance
Corporate tax
Federal 15% + provincial; combined 23 to 31%
GST/HST
5% federal; 13 to 15% combined by province
Director residency
Federal: at least 25%; BC, ON, AB: none
Incorporation
1 to 5 days, online
Canada is a politically stable jurisdiction tied to three continents through free trade with the US (CUSMA), CETA with the EU and Asia-Pacific agreements. A company can be formed federally (CBCA) or provincially; federal incorporation gives nationwide name protection but requires at least a quarter of directors to be Canadian residents. British Columbia, Ontario and Alberta have no such requirement; provincial incorporation is usually more practical for a foreign founder.
Corporate tax is 15 percent federal plus the provincial share; the combined rate sits between 23 and 31 percent in most provinces. The small business deduction is open only to Canadian-controlled companies. The SR&ED research credit is one of the most generous programmes in the world for technology ventures.
Why here
When this jurisdiction is the right choice.
- Border neighbour to the US market, duty-free access under CUSMA.
- Cash support for tech ventures through SR&ED and provincial R&D credits.
- A founder residency path through the Start-up Visa programme.
- Predictable law, strong banking.
Entity types
Which structure, for whom.
Corporation (federal or provincial)
The standard form; limited liability, share structure, federal or provincial registry.
Partnership / LP / LLP
Partnership forms; LLP for professional firms, LP for fund structures.
Branch
A foreign company's branch registered in a province (extra-provincial registration).
Process
Formation step by step.
- 01Federal or provincial choice
- 02NUANS name report or a numbered company
- 03Incorporation documents and director details
- 04Registry filing and certificate of incorporation
- 05CRA business number; corporate tax, GST/HST and payroll accounts
- 06Bank account
- 07Extra-provincial registrations and municipal licences where needed
- 08Individuals with significant control (ISC) register
After formation
What has to happen every year.
- Annual corporate tax return (T2) and provincial returns
- Annual registry return and ISC update
- GST/HST registration above C$30,000 and periodic returns
- Records kept for at least six years
Frequently asked
The in-country registry, licence and agent steps of the formation file run through our licensed formation partners in the relevant jurisdiction. Structure design, contracts, the bank file and the tax and notification effect on the Turkish side are managed by Defensible. Rates and thresholds summarise the headline rules at the time of writing; we check the current text together on your own file.
Can I incorporate without living in Canada?
Yes; British Columbia and Ontario have no director residency requirement. A visit may be needed for the bank account. Tax residency and place of management must be designed alongside the Turkish side.
Let's work out which structure fits you in 15 minutes.
Tell us where you sell, who you are and what you are aiming at; we will say in the call which jurisdiction and entity type make sense. Formation itself is a separate engagement, scoped and priced there.
Book a 15-minute call