Temporary Wage Subsidy for Employers
Announced on March 18
, the Temporary Wage Subsidy is equal to 10% of the remuneration you pay from March 18, 2020 to June 19, 2020, up to $1,375 for each eligible employee and to a maximum of $25,000 total per employer.
Canada Emergency Wage Subsidy (CEWS)
As announced on April 1
, the Canada Emergency Wage Subsidy would apply at a rate of
of the first $58,700 normally earned by employees – representing a benefit of
up to $847 per week
. The program would be in place for a 12-week period, from
March 15 to June 6, 2020
. Eligible employers who suffer
a drop in gross revenues of at least 30% in March, April, or May
, when compared to the same month in 2019, would be able to access the subsidy.
Those organizations that do not qualify for the Canada Emergency Wage Subsidy may qualify for the previously announced wage subsidy of 10%.
Eligible employers would be able to access the Canada Emergency Wage Subsidy by applying through a Canada Revenue Agency online portal.
This online portal is not live yet. We will send an update when more information is released. Be sure to have a
CRA My Account or My Business Account
set up to access the subsidy when it becomes available.
Work-Sharing (WS) is a program that helps employers and employees avoid layoffs when there is a temporary decrease in business activity beyond the control of the employer. The program
provides EI benefits to eligible employees
who agree to reduce their normal working hours and share the available work while their employer recovers. Work-Sharing is an agreement between employers, employees, and the Government of Canada.
Business Credit Availability Program (BCAP)
The Federal Government established a Business Credit Availability Program (BCAP) to provide $65 billion of additional support through the Business Development Bank of Canada (BDC) and Export Development Canada (EDC).
Canada Emergency Business Account
The new Canada Emergency Business Account will provide interest-free loans of up to $40,000 to small businesses and not-for-profits, to help cover their operating costs during a period where their revenues have been temporarily reduced.
To qualify, these organizations will need to demonstrate they paid between $50,000 to $1 million in total payroll in 2019.
Loan Guarantee for Small- and Medium-Sized Enterprises
EDC is working with financial institutions to issue new operating credit and cash flow term loans of up to $6.25 million to SMEs.
Businesses seeking support through BCAP should contact the financial institutions with whom they have a pre-existing relationship
, so that the financial institutions may assess the client’s financial request.
Canada Emergency Response Benefit (CERB)
To support workers and help businesses keep their employees, the government has proposed legislation to establish the Canada Emergency Response Benefit (CERB). This taxable benefit would provide
$2,000 a month for up to four months for workers who lose their income as a result of the COVID-19 pandemic
The CERB would cover Canadians who have lost their job, are sick, quarantined, or taking care of someone who is sick with COVID-19, as well as working parents who must stay home without pay to care for children who are sick or at home because of school and daycare closures. The CERB would apply to wage earners, as well as contract workers and self-employed individuals who would not otherwise be eligible for Employment Insurance (EI).
Additionally, workers who are still employed, but are not receiving income because of disruptions to their work situation due to COVID-19, would also qualify for the CERB. This would help businesses keep their employees as they navigate these difficult times, while ensuring they preserve the ability to quickly resume operations as soon as it becomes possible.
Applying for the Benefit will also be done via the CRA online portal.
Government of Ontario Support Measures
Key initiatives in the government's plan to strengthen its response to the COVID-19 outbreak and support people, families, workers, and employers include:
- More affordable electricity bills for eligible residential, farm, and small business consumers, by providing approximately $5.6 billion for electricity cost relief programs in 2020-21.
- Setting electricity prices for residential, farm and small business time-of-use customers at the lowest rate, known as the off-peak price, 24 hours a day for 45 days to support ratepayers in their increased daytime electricity usage.
- Cutting taxes by $355 million for about 57,000 employers through a proposed temporary increase to the Employer Health Tax (EHT) exemption.
- Expanding access to the emergency assistance program administered by Ontario Works to provide financial support to people facing economic hardship and help more people meet basic needs such as food and rent during this public health emergency.
- Enhancing funding by $148 million for charitable and non-profit social services organizations such as food banks, homeless shelters, churches, and emergency services to improve their ability to respond to COVID-19, by providing funding directly to Consolidated Municipal Service Managers and District Social Service Administration Boards who would allocate this funding based on local needs.
The government's plan also includes measures that will make available $10 billion in support for people and businesses through tax and other deferrals to improve their cash flows over the coming months, including:
- Making available $6 billion by providing five months of interest and penalty relief for businesses to file and make payments for the majority of provincially administered taxes.
- Over $1.8 billion by deferring the upcoming June 30 quarterly municipal remittance of education property tax to school boards by 90 days, which will provide municipalities the flexibility to, in turn, provide property tax deferrals to residents and businesses, while ensuring school boards continue to receive their funding.
- Making available $1.9 billion by allowing employers to defer Workplace Safety and Insurance Board (WSIB) premium payments for up to six months.
Town of Grimsby
At a special meeting of Grimsby Council on March 25, 2020, Council approved the following financial supports to help Grimsby residents during the COVID-19 outbreak:
- Waive penalty and interest charges on current (2020) taxes that are past due from May 1 until June 30, 2020.
- Waive penalty charges on past due water accounts from April 1 until June 30, 2020.
- Waive interest charges on past due accounts receivable from April 1 until June 30, 2020.
- Waive NSF charges on tax and water payments from April 1 until June 30, 2020.
- The Town will continue to process pre-authorized payments for taxes and water on their regular billing schedule. Those that wish to be remove from pre-authorized payments should contact the Town.
Ratepayers that are able to continue to pay their property taxes and water bills are strongly encouraged to do so. This assistance is intended for Grimsby residents who are not able to pay at this time, due to COVID-19 impacts. These rate supports will continue to be reviewed as timelines for COVID-19 become more clear. For more information, please call the Town of Grimsby at 905-945-9634.