Have you started your own business? (Canada)

Alright, so I'm starting a local "Marketing/Web design" company in my local Canadian city, and I was wondering if any of you have any insights on the legal requirements of doing so.

Specific examples:

Do I need to charge taxes?
What permits would I most likely require? (Other than registering company name)

All in all, I'm curious as to what many of you business owners have done when starting-up. Considering a lot of it will be online-based, what do I actually need? I have some friends that say "It's online, there are no rules", which I feel is a little misguided.

Any insight would be appreciated!

I'm thinking of going as a Sole Proprietorship, but I don't want to get screwed over by the unknown. Mind you, the unknown can screw you anyway!

Damn it guys, what do you think!?

A Sole Proprietorship is the easiest way. This might help you get started:

canadabusiness.ca/eng/page/2856/