What is an HST number in Canada?

An HST number is a unique identifier issued by the CRA that allows businesses to collect, report, and remit Harmonized Sales Tax (HST) in Canada.

Why do I need to register for an HST number in Canada?

You need an HST number if your business sells taxable goods or services and earns more than $30,000 annually. It ensures compliance with federal tax laws.

How do I register for an HST number with the CRA?

You can register online through the CRA Business Registration Online service, by phone, or by submitting Form RC1 to the CRA.

What is a CRA payroll account in Canada?

A CRA payroll account allows employers to remit employee income tax, Canada Pension Plan (CPP) contributions, and Employment Insurance (EI) premiums to the Canada Revenue Agency.

When do I need to open a payroll account with the CRA?

You must open a payroll account when you hire employees and are required to deduct income tax, CPP, and EI from their paychecks.

Can I register for an HST number and payroll account at the same time?

Yes. The CRA allows you to register for multiple program accounts, including HST and payroll, through a single business registration process.

How long does it take to get an HST number from the CRA?

Online registration is usually immediate or within a few days, while phone or mail submissions may take longer depending on CRA processing times.

Do I need a separate CRA account for each province I operate in?

No. Your CRA business number can be used for HST and payroll across provinces, but HST rates and filing requirements vary by province.

What information do I need to register for an HST number or payroll account?

You need your business legal name, address, type of business, incorporation details, and, if applicable, details about directors or owners.

Is registering for an HST number mandatory for all Canadian businesses?

No. Small businesses earning less than $30,000 annually in taxable supplies may qualify as a small supplier and are not required to register for an HST number.

What happens if I collect HST without registering with the CRA?

You may be liable for unpaid HST, penalties, and interest, which can lead to compliance issues with the CRA.

Can I cancel my HST number or payroll account with the CRA?

Yes. If your business closes or no longer requires the accounts, you can request cancellation with the CRA, ensuring all obligations are fulfilled first.

How often do I need to file HST returns with the CRA?

Filing frequency depends on your business revenue. Most small businesses file annually, while larger businesses may file quarterly or monthly.

How can I simplify registering for HST and payroll accounts in Canada?

Services like Launch a Business can guide you through CRA registration, submit applications on your behalf, and ensure compliance without navigating complex government forms.

Registering for an HST Number and CRA Payroll Account: What You Need to Know

Lisa Shaw
Jan 21
4 min read

Starting a business in Canada means taking care of more than just your business name registration or incorporation — you’ll also need to make sure your tax accounts are set up properly with the Canada Revenue Agency (CRA). Two of the most common ones you’ll hear about are the HST number and the CRA payroll account.

Here’s what each one does, when you need them, and what to do if you’ve already registered before.

What Is an HST Number?

An HST (Harmonized Sales Tax) number is a unique tax ID that allows your business to collect and remit HST on taxable goods and services. It’s part of your CRA Business Number (BN), and you may see it referred to as a GST/HST account — it’s the same thing.

Basically, it tells the CRA, “Hey, I’m charging sales tax and I’ll be remitting it properly.”

When You Need to Register for HST

If your business makes $30,000 or more in taxable revenue over four consecutive calendar quarters, you’re required to register for HST. This applies to sole proprietors, corporations, and partnerships.

If you’re under that $30,000 mark, registration is voluntary — but don’t rule it out yet.

Why You Might Want to Register Voluntarily

Even if you’re not required to register, there are some clear benefits to doing it early:

You can claim Input Tax Credits (ITCs): This lets you get back the HST you pay on eligible business purchases.
It adds credibility: Many clients and suppliers expect established businesses to have an HST number.
You’ll be ready to grow: No need to scramble once your sales pass $30,000 — you’ll already be set up.

What Is a CRA Payroll Account?

If your business has employees — or if you’re paying yourself a salary through your corporation — you’ll need a CRA payroll account.

This account allows you to deduct and remit:

Income tax
Canada Pension Plan (CPP) contributions
Employment Insurance (EI) premiums

The payroll account ensures all employee withholdings are reported and sent to the CRA on time.

When to Register for a Payroll Account

You should open your CRA payroll account before you issue your first pay cheque. This ensures your payroll deductions are properly tracked and remitted right from day one.

Even if you’re the only “employee” of your own corporation, you’ll still need a payroll account if you’re paying yourself a T4 salary.

Why It’s Important

Registering these CRA accounts isn’t just about following rules — it’s about keeping your business on track and financially healthy.

Having the right accounts in place helps you:

Stay compliant and avoid CRA penalties.
Keep your bookkeeping organized and up to date.
Build trust with clients, lenders, and partners.
Simplify your year-end tax filing.

What If You Previously Registered for HST or Payroll with the CRA?

If you’ve had a business in the past, there’s a good chance you already have a CRA Business Number (BN) — and maybe even an HST or payroll account attached to it. Before trying to register again, here’s what to do:

Check if your old CRA accounts are still active. You can contact the CRA’s Business Enquiries line at 1-800-959-5525 to find out if your previous HST or payroll number is still active or can be reactivated.
Reactivate instead of registering new. If you’ve closed a business or let your account go inactive, the CRA can often reactivate your existing HST or payroll account instead of creating a new one. This keeps your tax history consistent and avoids duplicate accounts.
Update your business details. If your new business has a different name, address, or structure (like switching from a sole proprietorship to a corporation), the CRA can update your information accordingly.
Don’t register a new number unless necessary. Each Business Number is unique — and should only be tied to one entity. If your business structure has completely changed, you may need a new BN, but the CRA will confirm which is appropriate.

How to Register for an HST or Payroll Account (If You’re Starting Fresh)

You can register directly with the CRA:

Online: through your CRA My Business Account or the Business Registration Online (BRO) portal.
By phone: call 1-800-959-5525.
By mail or fax: using Form RC1 (Request for a Business Number).

Or, if you’re registering or incorporating your business through Launch a Business, we can help set up your HST and payroll accounts at the same time — making the whole process easy and stress-free. You’ll see the option to include these when you submit your business registration or incorporation.

Final Thoughts

Whether you’re brand new or getting back into business, setting up (or reactivating) your HST and payroll accounts is a key step in staying organized and compliant with the CRA.

These accounts help you manage taxes, employee payments, and your financial records — and they keep your business running smoothly behind the scenes.

At Launch a Business, we take care of all those details for you, so you can focus on what really matters: growing your business.

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