Certificate of Good Standing for an Ontario Company
Ontario Certificates of Status are issued by the Ontario Ministry of Government Services for Ontario companies. Sometimes these are called Certificates of Good Standing or Certificates of Compliance and all companies registered in all jurisdictions in Canada and for that matter all companies registered in any country can obtain these certificates when needed. They are called Certificates of Status in Ontario.
Certificates of Status are issued when you need to provide some institution or person with confirmation that your Ontario company is in good standing and is up-to-date in its filings.
If you obtain an Ontario Certificate of Status it will show the following: (a) the current name of the corporation; (b) the number assigned to the corporation by the government called the Ontario Corporation Number; and (b) whether or not the corporation is in good standing.
Ontario companies must file federal tax returns each year and if those returns are not filed for many years the federal government will eventually dissolve the company. If a company has been dissolved it will not be able to receive a clear Certificate of Status.
An Ontario company has a statute requirement to file an annual return each year and it the return is not filed the company will end up being dissolved by the Companies Branch. A clear Certificate of Status cannot be obtained if a company is in default of not filing its annual returns.
When you order an Ontario Certificate of Status it will be issued whether it is clear or not and you cannot get your money back if it is not clear. The Certificate will show the company is not in good standing. Before you will be able to obtain a clear Certificate of Status you will need to update your filings. Any document that is being certified by the Ontario government has a high cost to it. Therefore you will want to ensure that you know in advance whether your company is in good standing so you do not have to order the certificate more than once. If you have outstanding tax returns you can still get a favourable Certificate of Status as long as you have not been dissolved for this reason but you will not receive a favourable certificate if Ontario annual returns are outstanding
A Certificate of Status is not an Ontario corporate search. If you are trying to determine information about an Ontario company you should have an Ontario Corporate Profile search done rather than ordering a Certificate of Status.
If your corporation is selling or buying property, is entering into a major contract, wants to register a car against the corporation, a Certificate of Status might be requested by the law firm, by the government or the bank involved. Any corporation might be asked for confirmation that it has made its proper filings and be requested to provide a Certificate of Status.
Resources for Canadian Business Owners provides information about Certificates of Compliance and other legal products including Ontario Company Searches.
