The Ontario Companies Branch of the Ministry of Government Services issues Certificates of Status for companies incorporated in Ontario. A Certificate of Status, Certificate of Good Standing or a Certificate of Compliance are different names for the same thing and the name depends on the province or territory in which you request it. Any company in the World can obtain a Certificate of Good Standing from its country, province or territory of origin.
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.
The Certificate of Status for an Ontario company will provide the name of the company, the Ontario corporation number issued by the Ministry of Government Services and its status whether it is or is not 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.
Ontario companies must file Ontario annual returns each year and if those returns are not filed for a number of years the company will be dissolved. You will not receive a favourable Certificate of Status if a company has been dissolved for non-filing of Ontario annual returns.
The government does not refund the money if a clear Certificate of Status cannot be issued. Basically it will issue a Certificate of Status that indicates the Ontario company is not in compliance and you will then need to file any outstanding returns and order a new Certificate of Status. A Certificate of Status is not cheap so if you know in advance you have not made your filings you should at the least ensure all Ontario annual returns are filed before ordering your Certificate of Status. If you have some outstanding tax returns but have not been dissolved then you will still receive a favourable Certificate of Status as long as your Ontario annual returns have been filed with the Ontario Companies Branch.
In my experience sometimes individuals are not clear on the document they need to obtain. An individual may wish to determine who the directors and officers are of a company. In this case an Ontario Corporate Profile is required rather than a Certificate of Status.
When do you need to obtain a Certificate of Status? Well, if the company is entering into an agreement with another company or individual that company or individual might want to know if the company is in good standing. Sometimes banks or law firms might wish to order a Certificate of Status on a company in cases where property is being sold or for many other reasons. Any company might be asked to provide confirmation to someone or some institution that it is in good standing and a Certificate of Status will be requested.
Resources for Canadian Business Owners provides information about Certificates of Compliance and other legal products including Ontario Company Searches.
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