How to Set Up Accounting for a New Shopify Store in Canada

The best time to set up your accounting is before your first sale — not after your first tax season scramble. Here's the complete setup checklist for a new Canadian Shopify store.

Step 1: Register Your Business

Decide your business structure before you open for sales:

• Sole proprietorship — simplest, income taxed personally, unlimited personal liability
• Partnership — shared ownership, income taxed personally
• Corporation — separate legal entity, lower tax rate, more setup cost

Most new Shopify sellers start as sole proprietors. If your store name differs from your legal name, register a business name with your provincial registry.

Step 2: Get a CRA Business Number

Register for a Business Number (BN) at CRA My Business Account. This is separate from GST/HST registration. Once you have a BN, you can add a GST/HST account to it when your revenue reaches $30,000.

Step 3: Open a Dedicated Business Bank Account

Never mix personal and business transactions. A dedicated business chequing account makes reconciliation much easier and is essential if you're ever audited. Keep a business credit card for business purchases.

Step 4: Choose Accounting Software

Step 5: Connect Shopify to Your Accounting Software

Use a dedicated Shopify accounting integration (A2X, Synder, or Shopify's native QuickBooks connector) to automate the reconciliation of payouts. Manual data entry is error-prone and time-consuming.