Corporations end in two very different ways: deliberately, through a voluntary dissolution done in the right order, or accidentally, when missed annual returns let the registrar dissolve the corporation out from under its owner. Both paths are covered here, along with revival, the process for undoing a dissolution that shouldn’t have happened or happened too soon.
The two paths and their fixes
| Voluntary dissolution | Involuntary dissolution | |
|---|---|---|
| Trigger | Shareholders or directors decide to wind up | Registrar acts, most often after missed annual returns |
| Preconditions | Business wound down, debts settled, CRA accounts closed in order | None the owner controls; it happens by operation of law |
| The classic error | Distributing assets before tax clearance | Not noticing until a bank or counterparty flags it |
| Undo mechanism | Not usually needed | Revival application, with time limits and conditions |
Order matters most in the voluntary path: distributing corporate property before CRA matters are settled can make the person who authorized the distribution personally liable for unpaid amounts.
Start with these answers
- The comparison: dissolution rules, federal, Ontario and Alberta compared.
- By jurisdiction: dissolving a corporation in Alberta, in Ontario, and federally.
- Partnerships and corporate relationships: the comparison, plus Alberta, Ontario, and federal versions, and what happens when business partners split up.
- The accidental path: can a corporation be dissolved without the owner noticing, and the annual-return consequences federally, in Alberta, and in Ontario.
Mistakes that outlive the corporation
- Distributing assets before CRA clearance. The liability follows the person who authorized it, up to the value distributed.
- Leaving CRA program accounts open. A dissolved corporation with open GST/HST or payroll accounts keeps generating filing obligations.
- Assuming dissolution ends every obligation. Records retention, pending claims, and director liabilities can all survive.
- Sitting on a revival deadline. Revival is time-limited; the longer a dissolution sits, the more conditions (like a fresh name search) attach.
Official starting points
- Alberta: liquidate or dissolve a corporation
- Alberta: revive a corporation
- Corporations Canada
- Ontario Business Registry: all services
Guide last updated August 8, 2026.