With all of the announcements, requests, news reports, opinion pieces and social media chatter, it can be difficult to know just what may apply to you and what is actually available right now. Below you will find the basics, with links to more details if you feel something applies to you.
As of today, April 21, 2020 here is what we know:
For Businesses:
- Canada Emergency Wage Subsidy is an up to 75% subsidy available to business that have revenues that are 15% less in March 2020 over March 2019 and 30% less in April and May 2020 over April and May 2019. The application process will be open April 27, 2020f.
The 10% Temporary Wage Subsidy is available to all employers. To utilize this, you reduce the tax portion of your source deduction remittance by 10% up to a maximum of $1,375 per employee and $25,000 total.
- "the $40,000 interest free loan"called the Canada Emergency Business Account (CEBA) is for employers that had payroll in 2019 between $20,000 and $1,500,000. You may apply through your bank or credit union. If 75% of this loan is repaid by December 31, 2022 then 25% of the loan is to be forgiven.
- The Work-Sharing Program has been extended from 38 weeks to 76 weeks.
- The Canada Summer Jobs program has extended
- Deferrals of GST/HST remittances, income tax instalments and income tax due dates have been granted with no interest or penalties to be applied.
- Business Credit Availability Program (BCAP) is available to all business and especially those not eligible for the CEBA. These are accessible through your bank and supported by Business Development Canada and Export Development Canada.
For Self-Employed Individuals:
- If you have income under $1,000 per month, due to COVID-19 you are eligible to apply for the Canada Emergency Response Benefit (CERB).
- Deferrals of GST/HST remittances and income tax due dates have been granted with no interest or penalties to be applied.
- Business Credit Availability Program (BCAP) is available to all business and especially those not eligible for the CEBA. These are accessible through your bank and supported by Business Development Canada and Export Development Canada.
For Individuals:
- If you have income under $1,000 per month due to COVID-19 you are eligible to apply for the Canada Emergency Response Benefit (CERB).
- If you have exhausted your EI benefits and cannot find a job due to COVID-19
- Canada Child Benefit and GST credit payments have been increased. These are automatic and do not need to be applied for.
- The income tax filing due date has been extended from April 30, 2020 to June 1, 2020 with any new tax owing being deferred to a due date of August 31, 2020 with no interest and/or penalties.
- You may be eligible to have your mortgage payments deferred. You need to contact your bank to arrange this.
There is scads of information out there on the above programs. We recommend this site to ensure accurate and current information issued by the government.
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