A comfort letter is a notice of income tax accounts in good standing. The tax accounts relate to the payroll, corporate, and GST/HST accounts of your business. A financial institution might request a comfort letter to ensure that your company does not owe the Canada Revenue Agency any outstanding payments. The letter may also be used as proof to grant a loan application.
In order to request a comfort letter, you must submit a request in writing, either by mail or by fax. Make sure to include the name of your business, your business number, the relevant CRA business accounts, the name and position of the authorized person making the request, and a letter of authorization or form RC59, Business Consent.