Closing your Business
Retail Sales Tax
If you sell or close your business, your Retail Sales Tax (RST) Vendor Permit becomes void and you must return it your Ontario Ministry of Revenue Tax Office within 15 days. You may not transfer your Vendor Permit to the purchaser of your business. You must also file your last RST return and pay any RST owing, such as on unsold taxable inventory.
When a person or entity (partnership or corporation) sell part or all of their business through a sale in bulk to which the Bulk Sales Act applies, that person or entity must also obtain a Clearance Certificate from the Ministry of Revenue to confirm that all RST collectable or payable by that person or entity has been paid.
A Clearance Certificate Checklist
is available to assist sellers and their representatives in submitting a request for a Clearance Certificate. The checklist provides further details and information that should be included in the written request for a Clearance Certificate. All requests must be made in writing at least two weeks before the sale takes place.
When selling or closing your business, you must advise the ministry in person or by telephone. You may also close your Retail Sales Tax account online. Use the ServiceOntario - Gateway for Business to notify us that you are closing your RST account.
For assistance when selling or closing your business, or further information regarding Clearance Certificate requests, please contact us directly.
