A business is an activity that you intend to carry on for profit and there is evidence to support that intention. A business includes a profession, a calling, a trade, a manufacture, an undertaking of any kind, or an adventure or concern in the nature of trade. Business income includes income from any activity you do for profit. For example, income from a service business is business income. However, you do not include employment income as business income. You need to know if you are an employee or self-employed.
The date when the business can be said to have commenced must be known. Generally, it is considered that a business starts whenever you start some significant activity that is a regular part of the business or that is necessary to get the business going. For more extensive information, refer to www.cra-arc.gc.ca/tx/bsnss/tpcs/slprtnr/wht-eng.html.
Corporation, association, cooperative, organization or other entity refer to all legal persons and any group or persons pursuing a common goal, with or without the intent of earning a profit. An corporation business number begins with 11.
Sole proprietorship is a person operating a business of which he or she is the sole owner. This does not constitute a separate legal entity, as the business and its owner are one and the same. A sole proprietorship business number begins with 22.
A partnership refers to an entity in which two or more persons agree to carry on the operation of a business by pooling their property, knowledge or activities and to share any resulting profits. A partnership business number begins with 33.
Posted in: General Business Information