Corrie Omand

Support for Canadians and Businesses – COVID-19

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The Prime Minister Trudeau announced that the Canadian Government will be providing $27 Billion in direct support to Canadians and $55 Billion for liquidity needs and tax deferrals to help those struggling because of the COVID-19 pandemic.

Various forms of support provided under the Economic Response Plan include:

FOR CANADIANS:

  • Employment Insurance (EI) – Waive waiting period and need for medical certificate APPLY ONLINE HERE
  • Canada Emergency Response Benefit (to replace the previously announced Emergency Care Benefit and Emergency Support Benefit) – up to $2,000/month for up to 4 months to workers who have stopped or will stop working due to reason related to COVID-19.   Online Applications are being apply for on specific days.  Click here for information on how to Apply as specific days have been set up.
  • BC Emergency Benefit for Workers providing a one-time $1,000 payment for people who have lost income related to COVID-19.    Online Applications will open soon
  • EI Work Sharing Program – EI benefits provided to workers who agree to reduce their normal working hours as a result of developments beyond their employers’ control (easing eligibility, streamlining application process and allowing agreements to be extended up to 76 weeks)
  • Increase to Canada Child Benefit (CCB) – Payments by $300 per child
  • Temporary increase of GST credit payment – For low and modest-income families
  • Student Loan Payments – 6-month, interest free moratorium on Canada student loan payments
  • Flexibility for Taxpayers – Income Tax filing date moved to June 1, 2020 and the payment of income tax owing moved to August 31,2020
  • Mortgage Default Management Tools – Options available such as payment deferral, loan re-amortization, capitalization of outstanding interest arrears and other eligible expenses and special payment arrangements

FOR BUSINESSES:

  • Canada Emergency Wage Subsidy – 75% wage subsidy up to $847 per week.  Apply through the CRA’s My Business Account Portal.  For more information click here.
  • 10% wage subsidy for small businesses for up to 3 months (up to max of $1,372/employee and $25,000 per employer). Businesses will be able to benefit immediately from this support by reducing their remittances of income tax withheld on their employees’ remuneration.  For more information click here.
  • Deferred business tax payments until Aug 31, 2020
  • Income Tax and GST audits on hold for 4 weeks
  • Business Credit Availability Program (BCAP) – Easier access to credit, including reduced interest rates

Sick Leave and Short-Term Disability Benefits

In addition, Employees who are off work still have access to available Sick Leave and Short-Term Disability/Weekly Indemnity programs that their employers provide.  All insurance carriers are accepting the “Plan Member Confirmation of Illness Form” instead of the Attending Physician’s Statement.

Questions about Payroll?

The Canadian Payroll Association has prepared an excellent FAQ with links to answer common Employer questions related to COVID-19.

*Original post: March 19, 2020