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Robert
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Typically, consent must be obtained from the Canada Revenue Agency in order to change the fiscal year-end of your business. This involves writing a letter to the appropriate tax centre, including the reason for the change. For a self-employed individual, the fiscal year-end is typically December 31. However, the alternative method may be used (i.e. non-calendar year fiscal year-end), but is only permitted on a case-by-case basis. There are certain cases where a corporation does not require consent to change its fiscal year. These include the corporation going through a wind-up or immigrating to another country where it may or may not be subject to taxes. If there are any changes to fiscal year-ends, Form T1139 Reconciliation of Business Income for Tax Purposes must be completed.