- KD Wray
Government Benefit Program Updates
CANADA EMERGENCY STUDENT BENEFIT (CESB)
September 29, 2020
• Benefits for certain students not eligible for CERB
• Benefit available from May to August
• All applications must be submitted by September 30
You can find more information by pressing the link below:
https://www.canada.ca/en/revenue-agency/services/benefits/emergency-student-benefit.html
CANADA EMERGENCY RESPONSE BENEFIT (CERB)
September 29, 2020
• The final period for CERB was August 30 through September 26 (period 7)
• Qualifying Individuals were able to apply for 28 weeks (7 four week periods)
• The application can still be submitted through CRA’s My Account
• The deadline to apply is December 2, 2020, for any period 1 through 7
• Benefits received are fully taxable
You can find more information by pressing the link below:
https://www.canada.ca/en/revenue-agency/services/benefits/apply-for-cerb-with-cra/how-apply.html
CANADA RECOVERY BENEFIT (CRB)
PENDING LEGISLATION
September 29, 2020
• A replacement program for CERB
• $500 a week for 26 weeks for self-employed or those not eligible for Employment Insurance (EI) and require income support
• Must be 15+ years of age with a valid social insurance number
• Must have earned $5,000 or more in 2019, in 2020 or in the 12 months preceding your first application from employment income, self-employment income, EI maternity or parental benefits
• Must have stopped working due to COVID-19 and are available and looking for work or are working and have had a reduction in income related to COVID-19
• Have to have had at least a 50% reduction in employment/self-employment related to COVID-19
• Have not quit your job voluntarily
• Cannot be receiving other benefits under CRCB, CRSB, short term disability, WSIB or EI for the week for which you are applying
• Benefits received are fully taxable
• The tentative start date is September 27, 2020, for one year
EMPLOYMENT INSURANCE (EI)
September 29, 2020
• Temporary changes announced as of September 27 to further support Canadians looking for work
• Eligible for EI and you:
• Were employed for at least 120 hours in the past 52 weeks
• If received the CERB, the 52 week period to accumulate insured hours will be extended
• Stopped working through no fault of your own
• Did not quit your job voluntarily
• Are ready, willing and capable of working each day
• Are temporarily unable to work while you care for someone else or yourself (EI maternity, parental, sickness, compassionate care and family caregiver benefits)
• Eligible for EI benefits, minimum taxable benefit of $500 per week or $300 per week for extended parental benefits
CANADA RECOVERY SICKNESS BENEFIT (CRSB)
PENDING LEGISLATION
September 29, 2020
• $500 a week for up to 2 weeks for workers who cannot work due to sickness or must self isolate for reasons due to COVID-19
• Must be 15+ years of age with a valid social insurance number
• Must have earned at least $5,000 in 2019, in 2020 or in the 12 months preceding your first application from employment income, self-employment income, EI maternity or parental benefits
• Must have been unable to work at least 50% of your normally scheduled work within a given week because of being sick or required to self-isolate for reasons related to COVID-19
• Must not be eligible for paid leave from an employer for the applicable week
• Must not be in receipt of CERB, ERB, CRB, CRCB, short term disability or EI benefits
• The tentative start date is September 27, 2020, for one year
CANADA RECOVERY CAREGIVING BENEFIT (CRCB)
PENDING LEGISLATION
September 29, 2020
• $500 a week for 26 weeks per household to eligible workers who cannot work because they must provide care to children or family members due to closure of schools, daycares or care facilities
• Must be 15+ years of age with a valid social insurance number
• Must have earned at least $5,000 in 2019, in 2020 or in the 12 months preceding your first application from employment income, self-employment income, EI maternity or parental benefits
• Must have been unable to work at least 50% of your normally scheduled work within a given week because of:
• Must care for a child under 12 years of age due to one of the following:
• School or daycare closure
• Cannot attend due to medical advice due to being high risk if they contract COVID-19
• The caregiver is not available for reasons related to COVID-19
• Must provide care to a family member who requires supervised care due to one of the following: • Day program or care facility is closed
• Cannot attend due to medical advice due to being high risk if they contract COVID-19
• The caregiver is not available for reasons related to COVID-19
• Only available to one individual in the household for the particular week
• Not in receipt of paid leave from an employer in respect of the particular week
• Must not be in receipt of CERB, ERB, CRB, CRSB, short term disability or EI benefits for the particular week
• The tentative start date is September 27, 2020, for one year
You can find more information about CRB, EI, CRSB, and CRCB by pressing the links below:
• Employment Insurance (EI)
https://www.canada.ca/en/services/benefits/ei/ei-self-employed-workers.html
• Canada Recovery Benefit (CRB), Canada Recovery Sickness Benefit (CRSB), Canada Recovery Caregiving Benefit (CRCB)
https://www.canada.ca/en/department-finance/economic-response-plan.html
CANADA EMERGENCY WAGE SUBSIDY (CEWS)
September 29, 2020
• Period 7 opens September 30 for the period August 30 through September 26
• Currently, the program is scheduled to run for nine periods from March 15 through November 21
• Major rule change starting with period 5
• Rules are very complex, call us to discuss
• The Throne Speech (dated September 23, 2020) indicated that the government is considering extending the CEWS to the summer of 2021
You can find more information by pressing the link below:
https://www.canada.ca/en/revenue-agency/services/subsidy/emergency-wage-subsidy.html
CANADA EMERGENCY BUSINESS ACCOUNT (CEBA)
September 29, 2020
• The application deadline is October 31
• Businesses with payroll apply through their primary financial institution
• Businesses without payroll apply through their primary financial institution and must submit non-deferrable expense support of $40,000+ to the Canada Revenue Agency
• The Throne Speech (dated September 23, 2020) indicated that the government is considering the expansion of the CEBA to help businesses with fixed costs
You can find more information by pressing the link below:
CANADA EMERGENCY COMMERCIAL RENT ASSISTANCE (CECRA)
September 29, 2020
• Assists commercial tenants with rent relief
• The new application deadline is September 30, 2020, for 5 month period from April through August
• Once the initial application is pre-approved, you can then opt-in for September
• The opt-in deadline is October 30, 2020
• The landlord is the applicant
You can find more information by pressing the link below:
https://www.cmhc-schl.gc.ca/en/finance-and-investing/covid19-cecra-small-business
10% TEMPORARY WAGE SUBSIDY
September 29, 2020
• A subsidy on the payroll for a three month period from March 18 to June 19
• The subsidy reduces CEWS for the applicable period if both are claimed
• All employers are to file Form PD27 regardless of whether a claim for the 10% Temporary Wage Subsidy was made:
• This is to enable the Canada Revenue Agency to reconcile the Temporary Wage Subsidy to employer payroll program (RP) accounts
• The PD27 form can be submitted via My Business Account, mail or fax
You can find more information by pressing the link below:
https://www.canada.ca/en/revenue-agency/services/subsidy/temporary-wage-subsidy/tws-reporting.html
2020 T4 PREPARATION
September 29, 2020
• Additional T4 reporting requirements in 2020
• Canada Revenue Agency needs data on employment income earned between four specific periods to validate eligibility for CEWS, CERB and CESB
You can find more information by pressing the link below:
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