Federal Corporation vs Ontario Corporation
Both file the same federal T2 at the same price. What changes is the registry, the annual return and where that annual return is filed.
One T2, Two Registries
Corporate income tax is federal. A corporation incorporated in Ontario and a corporation incorporated federally file the same T2, on the same deadline, with the same schedules. Nothing about a quiet year changes because of where the certificate came from.
What does change is the registry obligation sitting alongside it. Filing the T2 does not satisfy an annual return, and filing an annual return does not satisfy the T2. A corporation needs both, every year, for as long as it exists, and the annual return is not part of this service.
The Comparison, Row by Row
Prices checked November 4, 2026. Both figures are our own published fee.
| Item | Federal Corporation | Ontario Corporation |
|---|---|---|
| Our published fee for a quiet year | $300.00 plus HST per tax year | $300.00 plus HST per tax year |
| A second quiet tax year | $300.00 plus HST per tax year | $300.00 plus HST per tax year |
| Where it is incorporated | Under federal law, with Corporations Canada | Under Ontario law, on the Ontario Business Registry |
| The annual return it owes | A Corporations Canada annual return, at the fee that registry sets | An Ontario annual return, which carries no tax and no payment |
| Where that annual return is filed | With Corporations Canada | Through the Ontario Business Registry, where it has gone since October 2021 |
| Operating in Ontario | Files both: the Corporations Canada annual return and an Ontario filing. Federal incorporation does not remove the provincial obligation | Files the Ontario annual return |
| The T2 itself | The same federal return | The same federal return |
| Is the annual return covered by this fee | No. It is a registry filing, and filing the T2 does not satisfy it | No. It is a registry filing, and filing the T2 does not satisfy it |
| What decides whether a province collects its own corporate tax | A permanent establishment in that province, not the place of incorporation | A permanent establishment in that province, not the place of incorporation |
| Filing route and confirmation | Transmitted electronically, CRA confirmation emailed within 3 business days | Transmitted electronically, CRA confirmation emailed within 3 business days |
Four rows differ and six do not. What changes is the registry and the annual return that goes with it. The T2, the schedules, the filing route and the fee are the same for either corporation.
This comparison sets two of our own filing routes against each other and names no other provider. Where a comparison on this site does name one, it states that provider’s published prices and published features only.
The Annual Return Is a Separate Obligation
Whichever registry holds the corporation, the annual return sits outside the T2:
- An Ontario corporation files an annual return confirming its registered office address, its directors and its officers. It carries no tax and no payment.
- Since October 2021 that Ontario filing goes through the Ontario Business Registry. Until 2021 it was filed alongside the T2, which is why older advice still says otherwise.
- A federal corporation files an annual return with Corporations Canada, at the fee that registry sets.
- A federally incorporated corporation operating in Ontario files both. Federal incorporation does not remove the provincial obligation.
- Whether a province collects its own corporate tax turns on a permanent establishment there, not on where the corporation was incorporated.
- Quebec and Alberta each collect their own corporate tax, so CO-17 and AT1 are separate returns. They are not part of the federal T2 and are not covered by this fee.
Neither annual return is included in nil T2 filing, and missing one is not fixed by filing the other. They are different filings, to different bodies, on different dates.
The annual return versus tax return checker separates the two, the provincial return requirement checker takes the permanent establishment question, the federal annual return anniversary calculator dates the Corporations Canada filing, and the complete guide to provincial and federal annual returns sets out the fees and the dates.
Gondaliya CPA Professional Corporation is a registered EFILE electronic filer. Returns are prepared and transmitted in Canada. Credentials are never shared and never used offshore.
The Same T2 Either Way
Federal or Ontario, the return is prepared, reviewed and transmitted the same way, at $300.00 plus HST per tax year.
Reviewed by a CPA
The return is prepared and reviewed by a CPA Ontario member. Where the corporation was incorporated does not change the review.
The schedules are inside the fee
GIFI Schedules 100, 125 and 141, Schedule 50, Schedule 24 on a first return, Schedule 8 and loss continuity, for either corporation.
What is not inside the fee
The annual return to Corporations Canada or the Ontario Business Registry, and the Quebec CO-17 or Alberta AT1 where a province collects its own tax.
A corporation incorporated federally with its registered office in Ontario, quiet for the year
Its T2 is the same federal return any Ontario-incorporated corporation would file, on the same deadline, with the same schedules where anything sits on its books, at $300.00 plus HST per tax year. Alongside it the corporation owes a Corporations Canada annual return and an Ontario filing, because federal incorporation does not remove the provincial obligation. Neither of those is part of this service and neither is satisfied by filing the T2. The figures here illustrate how the rules apply and are not drawn from a client file.
Frequently Asked Questions
Does a federal corporation pay more for a nil T2?
No. The fee is $300.00 plus HST per tax year for either corporation. Where it was incorporated does not change the return or the price.
Is the T2 different for an Ontario corporation?
No. Corporate income tax is federal, so both file the same T2 on the same deadline with the same schedules.
What is the difference then?
The registry. A federal corporation is on the Corporations Canada register and an Ontario corporation is on the Ontario Business Registry, and each owes that registry an annual return.
Is the annual return included in the fee?
No. The annual return is a registry filing, not a tax return, and it is not part of nil T2 filing.
Does filing the T2 satisfy the annual return?
No, and the reverse is also true. Filing an annual return does not satisfy the T2. A corporation needs both, every year, for as long as it exists.
What does the Ontario annual return actually report?
The registered office address, the directors and the officers. It carries no tax and no payment.
Where is the Ontario annual return filed?
Through the Ontario Business Registry. Until 2021 it was filed alongside the T2, which is why older guidance still describes it that way.
What does a federal corporation file instead?
An annual return with Corporations Canada, at the fee that registry sets. The complete guide to provincial and federal annual returns carries the current figure.
I am federally incorporated but operate in Ontario. Which do I file?
Both. The Corporations Canada annual return and an Ontario filing. Federal incorporation does not remove the provincial obligation.
Does incorporating federally avoid provincial corporate tax?
No. What decides whether a province collects its own corporate tax is a permanent establishment in that province, not where the corporation was incorporated.
What about Quebec and Alberta?
Quebec and Alberta each collect their own corporate tax, so CO-17 and AT1 are separate returns. They are not part of the federal T2 and are not covered by this fee.
Do the GIFI schedules differ by registry?
No. The schedules follow what sits on the corporation’s books, not the registry that holds its record.
Is the deadline different?
The T2 is due six months after the fiscal year-end for either corporation. The annual returns run on their own dates, which are not the T2 deadline.
Does the corporation number differ?
A federal corporation and an Ontario corporation are identified on different registers, which is one reason the two annual returns cannot be filed in place of each other.
Which tool should I run first?
The annual return versus tax return checker, which separates what this service covers from what the registry wants.
Nil T2 Filing, $300.00 plus HST per tax year
Type your corporation name, pick your unfiled years, pay, and sign Form T183CORP on a secure screen. Your CRA confirmation is emailed within 3 business days.