CEBA canadian emergency business account, periods repayment terms extension application deadline

CRA, COVID-19

Canadians earn financial assistance through the COVID-19 pandemic, including additional incentives, credits and improvements to current ones. You may be eligible through other financial programmes.

If you have not yet completed your 2019 tax return, in October 2020 you may not receive GST / HST credit and CCB refunds, and you will have to refund the approximate sums you have collected since July.

When your 2019 tax return is completed and assessed, your payments will be returned if you already apply for those incentives.

File as soon as possible to prevent any payment interruptions. You will also find a free interactive tax clinic to help a volunteer file your return by phone or online.

CEBA canadian emergency business account
On Friday, October 9, the Federal Government launched new tailored supports to aid companies facing heightened instability as we move through the COVID-19 pandemic fall months.

Latest Canada Rent Subsidy (CERS):

The new rent subsidy offers affordable rent and mortgage assistance to COVID-19 eligible entities until June 2021.

Unlike the previous iteration, the new rent subsidy will be provided directly to tenants through the Canada Revenue Agency. CERS would provide subsidy for qualifying fixed property costs, including rent and commercial mortgage interest.

Until December 19, 2020, the CERS will have a sliding assistance scale covering a limit of 65% of qualifying expenditures. The current program is retroactive to 27 September 2020. When a company needs to close my statutory public health orders, the company will obtain an extra 25% subsidy.

We understand that the subsidy would cover up to $75,000 per area and that funding will be limited to up to $300,000 (all locations). We understand cumulative rather than monthly this amount.

Government officials suggested reform is expected to put these reforms to fruition. The earliest this may be implemented is October 19th week, with next week's House of Commons recessed.

The Federal Government has suggested this is a scalable initiative that will respond to the needs of an enterprise and how the COVID-19 pandemic evolves into the winter months.

Canada Emergency Wage Subsidy (CEWS) extension:

The Canada Emergency Wage Subsidy (CEWS) requires workers seeing sales loss due to COVID-19 to be eligible for a subsidy dependent on the average loss percentage.

The CEWS program was extended to June 2021 to encourage employers to keep employees on payroll and re-hire those who saw their COVID-19 hours cut. That's what OREA campaigned for explicitly.

Canada Emergency Business Account (CEBA):

The Canada Emergency Business Account (CEBA) provides eligible companies with up to $60,000 ($40,000 from the initial version of the CEBA loan, with an extra $20,000 in the program's latest iteration) interest-free loan from their financial institution. The Federal Government will repay the debt up to $20,000 if the balance is repaid by December 31, 2022.

CEBA 's application date is extended to December 31 , 2020. OREA will continue to notify members on the launch date and application process, which will be revealed in the coming days. Governments and banks are also discussing negotiations on those products.

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