The Government of Canada is taking immediate, significant and decisive action to support Canadians and businesses facing hardship as a result of the global COVID-19 outbreak. Here are some of the useful links that might be applicable to you. Please contact us if you need any further information or have specific questions.
Canada Emergency Wage Subsidy (CEWS)
The Canada Emergency Wage Subsidy (CEWS) supports employers that are hardest hit by the pandemic, and protect the jobs Canadians depend on. The subsidy covers a portion of an employee's wages for eligible employers. The wage subsidy would remain at the current subsidy rate of up to a maximum of 65 per cent of eligible wages until June 2021.
Canada Emergency Business Account (CEBA)
It’s a federal program aimed to support small businesses struggling with cash flow during the COVID-19 pandemic. The Canada Emergency Business Account provides interest-free loans of up to $40,000 to small businesses and not-for-profits, that have experienced diminished revenues due to COVID-19 but face ongoing non-deferrable costs, such as rent, utilities, insurance, taxes and wages. Business owners can apply for support from CEBA through their banks and credit unions.
As of December 4, 2020, CEBA loans for eligible businesses has been increased from $40,000 to $60,000.
Applicants who have received the $40,000 CEBA loan may apply for the $20,000 expansion, which provides eligible businesses with an additional $20,000 in financing.
All applicants have until March 31, 2021, to apply for $60,000 CEBA loan or the $20,000 expansion.
The Canada Emergency Rent Subsidy (CERS)
Canadian businesses, non-profit organizations, or charities who have seen a drop in revenue due to the COVID-19 pandemic may be eligible for a subsidy to cover part of their commercial rent or property expenses, starting on September 27, 2020, until June 2021. This subsidy will provide payments directly to qualifying renters and property owners, without requiring the participation of landlords.
Canada Recovery Caregiving Benefit (CRCB)
The Canada Recovery Caregiving Benefit (CRCB) gives income support to employed and self-employed individuals who are unable to work because they must care for their child under 12 years old or a family member who needs supervised care. This applies if their school, regular program or facility is closed or unavailable to them due to COVID-19, or because they are sick, self-isolating, or at risk of serious health complications due to COVID-19. The CRCB is administered by the Canada Revenue Agency (CRA).
If you are eligible for the CRCB, your household can receive $500 ($450 after taxes withheld) for each 1-week period.
If your situation continues past 1 week, you will need to apply again. You may apply up to a total of 26 weeks between September 27, 2020 and September 25, 2021.
Canada Recovery Sickness Benefit (CRSB)
The Canada Recovery Sickness Benefit (CRSB) gives income support to employed and self-employed individuals who are unable to work because they are sick or need to self-isolate due to COVID-19, or have an underlying health condition that puts them at greater risk of getting COVID-19. The CRSB is administered by the Canada Revenue Agency (CRA).
If you are eligible for the CRSB, you can receive $500 ($450 after taxes withheld) for a 1-week period.
If your situation continues past 1 week, you will need to apply again. You may apply up to a total of 2 weeks between September 27, 2020 and September 25, 2021.
Canadian banks have committed to work with their customers on a case-by-case basis to find solutions to help them manage hardships caused by COVID-19. This includes permitting lenders to defer up to six monthly mortgage payments (interest and principal) for impacted borrowers.