For a summary of general supports please visit our General Support For Businesses page.
Below is a Summary of COVID 19 Federal Government Support for Small Business
75% Emergency Wage Subsidy
- The federal government will provide a 75% wage subsidy (up to $847 per week) to eligible small businesses. The program will be in place for a 12-week period, from March 15 through to June 6, 2020.
- Businesses (regardless of the number of employees) individual employers, and partnerships will be eligible
- Eligibility will be determined by the change in an eligible employer’s monthly revenues, year-over-year, for the calendar month in which the period began.
- Alternatively, employers will be allowed to compare their revenue using an average of their revenue earned in January and February 2020.
- Businesses/organizations must demonstrate a 15% reduction of gross revenue from March to April; and/or 30% reduction of their gross revenue in April or May; and/or 30% reduction of their gross revenue in May to June
- Additional information here (Government of Canada)
- Helpful FAQs here (Canadian Federation of Independent Business)
Extending the Work-Sharing Program
- The maximum duration of the work-sharing program will be extended from 38 weeks to 76 weeks for employers affected by COVID-19
- This program will be effective March 15, 2020 to March 14, 2021
- This program will provide income support to employees eligible for Employment Insurance who agree to reduce their normal working hours because of developments beyond the control of their employers
- Additional details about eligibility criteria and how to apply, here (Government of Canada)
Temporary Change to Canada Summer Job Program
- The program provides wage subsidies to employers from not-for-profit organizations, the public-sector, and private sector organizations with 50 or fewer full-time employees, to create quality summer work experiences for young people aged 15 to 30 years.
- Eligible projects will include projects that:
- Provide full-time work experience from May to August in Canada for a minimum of six weeks;
- Provide a work experience in an inclusive non-discriminatory work environment that respects the rights of all Canadians; and,
- Support skills acquisition and development.
- For additional details, visit (Government of Canada)
More Time to Pay Income Taxes
- All businesses may defer, until after August 31, 2020, the payment of any income tax amounts that become owing on or after March 18 and before September 2020. This will apply to tax balances due, as well as instalments, under Part I of the Income Tax Act.
- No interest or penalties will accumulate on these amounts during this period.
- Additional details here
Deferral of Sales Tax Remittance and Customs Duty Payments
- The Government of Canada is allowing businesses, including self-employed individuals, to defer until June 30, 2020 payments of the GST/HST, as well as customs duty owing on their imports.
- Learn more here
Business Credit Availability Program
- The Government of Canada has established a Business Credit Availability Program (BCAP) to provide $40 billion of additional support through the Business Development Bank of Canada (BDC) and Export Development Canada (EDC).
- BDC and EDC are working with private sector lenders to coordinate on credit solutions for individual businesses, including in sectors such as oil and gas, air transportation, exports and tourism.
- Learn more here
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 $20,000 to $1.5 million in total payroll in 2019.
- This program will roll out in mid-April, and interested businesses should work with their current financial institutions.
Canada Emergency Response Benefit
The federal government is proposing the Canada Emergency Response Benefit (CERB) for workers who lose income as a result of the COVID-19 pandemic. The CERB would provide $2,000 per month for up to four months to Canadians who:
- Have lost their job due to COVID-19;
- Are sick, quarantined, or taking care of someone who is sick with COVID-19;
- Are working parents who must stay home without pay to care for children who are sick or at home because of school and daycare closures; and
- Are still employed, but not receiving income because of disruptions to their work situation due to COVID-19.
The CERB would apply to workers whether or not they are eligible for EI. This includes wage earners, contract workers, and self-employed individuals.
The portal for accessing the CERB would be available in early April. Learn more.
For complete details, read the federal government’s full COVID-19 Economic Response Plan