Preparing and filing annual returns for all your entities demands time, diligence, and expense. Our team can help you to handle the annual filings & keep your company up to date.
Keeping Your Company in Good Standing
Regardless of the size of your corporation, you are required to file annual returns to maintain your company’s legal status as “active” (that is, not dissolved, discontinued or amalgamated with another corporation). Annual filings – is the government’s way of keeping track of entities operating at the provincial or federal level. These filings remind the company to promptly file any change to the information shown in the corporate registry. It also tells the government registry that the company is still active.
Essentially, annual filings represent a great way to update the corporate registry on the company’s business activity and any changes to directors or management since then.
Important: Company’s annual return is not your company’s tax return, which must be filed with Canada Revenue Agency.
Failed to File an Annual Report – Now What?
If a company fails to file its annual report, it will no longer be in good standing. When a company is not in good standing, usually, a prominent notation stating this appears on the corporate registry, which can be viewed by anyone who searches the company.
Among other things, the loss of good standing may further result in the reinstatement fees, penalties, and company dissolution.
Fortunately, in most cases, the late filings can be submitted, and your company can be returned to a good status. However, this is not always the case. Save time and reduce your chances of filing mishaps by outsourcing your annual reports to our dedicated team.
Other Routine Annual Paperwork
In addition to Annual Reports, the three most common documents completed by BC companies on an annual basis are:
- Annual Shareholders’ Resolutions.
- Annual Directors’ Resolutions, and
- Dividend Resolutions.
As you know, most companies incorporated in Canada are required to hold annual general meetings (also called an “AGM”). In practice, most privately held companies complete written consent resolutions in lieu of holding formal AGMs.
In addition, the routine annual business of the board of directors includes items such as the approval of financial statements (unless this obligation is waived – see above) and the appointment of the company’s senior officers. In some cases, the directors may also wish to declare dividends from time to time to its shareholders.
Our team provide corporate law clerk services and can prepare your Annual Shareholders’ Resolutions and Annual Directors’ Resolutions, that can be filed in your corporate minute book.
Note: dividend resolutions are usually charged separately.
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If you’d like to talk through your annual paperwork needs, contact us so we can configure your perfect corporate service solution.Contact Us