Business structures in Canada and Ireland: what the tax offices and Corporations Canada say

This page reports what the official source says. It is not legal advice: ask the office named here. The sources are the Canada Revenue Agency (CRA), Corporations Canada and Revenue, the Irish tax authority, all read on October 9, 2026. They apply to any business and say nothing particular about tree work. They are tax and incorporation pages, so this page does not cover provincial incorporation in Canada or the Companies Registration Office in Ireland, and it says nothing about which structure suits any tree business. For the United States and United Kingdom, see business structures in the United States and United Kingdom.

Canada: sole proprietorship and partnership

The CRA page describes a sole proprietorship as a business you operate yourself and a partnership as one you operate with someone else. It says self-employment income is reported on lines 13500 to 14300 of the income tax and benefit return, with business income on line 13500, professional income on line 13700, commission income on line 13900, farming income on line 14100 and fishing income on line 14300. The page says to calculate and report business income using Form T2125. It also lists T5013 Partnership Information Return filing requirements as a topic. The page does not discuss personal liability.

Canada: the federal corporation

Corporations Canada gives these advantages of federal incorporation, in its own words where quoted.

Topic	What Corporations Canada says
Liability	"Shareholders are not responsible for a corporation's debts": if the corporation goes bankrupt, their losses are limited to what they invested
Name	One unique name can be used right across Canada
Continuous existence	The business does not stop when an owner dies; it ends when it is wound up, amalgamated or gives up its charter, such as after bankruptcy
Tax	Corporate tax rates are "generally" lower than personal rates, and a corporation is taxed separately from its owners
Fee	CAD 200 to incorporate online, with the certificate within one business day, as the page words it

The how-to page calls federal incorporation a five-step process: name the corporation, either a word name or a numbered name assigned by Corporations Canada; create the articles of incorporation, as basic incorporation with preset articles, one or two share classes and up to 10 directors, or as custom incorporation; set the registered office and first board of directors, disclosing each director's name, address and whether they are a resident Canadian; file information on individuals with significant control; and submit and pay. The CRA says that for tax years starting after 2023 most corporations have to file their T2 return electronically.

Ireland: Revenue's three forms of business

Revenue's page on what a business is sets out sole trader, partnership and company.

Form	What Revenue says
Sole trader	The owner makes all business decisions and keeps the records, and may have employees. Registering with Revenue as self-employed applies at net income above EUR 5,000. Income Tax, PRSI and USC are paid on net profits, and the annual return is Form 11, filed through the Revenue Online Service (ROS)
Partnership	Run by two or more people together. The precedent partner keeps the records and completes the annual return, Form 1 (Firms). Revenue issues the partnership a Tax Reference Number. Each partner reports a share of profits on their own return
Company	A separate legal entity from the people who run it; the page says it is "not self-employed". It files a Statement of Particulars, Form 11F CRO, within 30 days after trading begins, pays Corporation Tax and files Form CT1 through ROS. Directors' pay goes through PAYE

For a sole trader with employees, the same page says employee PAYE, employer PRSI, VAT and Relevant Contracts Tax (RCT) are due. The registering page says a person must register for tax with Revenue on becoming a sole trader, setting up a trust or partnership, or starting a company, and it calls online registration through ROS "the fastest, cheapest, and most efficient" route. It lists Form TR1 for resident individuals, partnerships, trusts and unincorporated bodies and Form TR2 for resident companies, with TR1 (FT) and TR2 (FT) for non-residents. It says a paper application where online registration is required is returned unprocessed. For the registration side by country, see registering as self-employed or a sole trader.

Business structures in Canada and Ireland: what the tax offices and Corporations Canada say

Canada: sole proprietorship and partnership

Canada: the federal corporation

Ireland: Revenue's three forms of business

Sources