January 19, 2021

Reminder: COVID-19 Economic Response Plan

The Canada Recovery Benefit (CRB)

The Canada Recovery Benefit (CRB) provides eligible Canadians (employed and self-employed) who are not eligible for regular Employment Insurance with income support in the form of $1000 ($900 after taxes) for a 2-week period for a total of 13 periods of eligibility.

Key eligibility requirements for CRB include, but are not limited to, the following:

Your employment or self-employment stopped because of COVID-19; OR
You were employed but your average weekly income dropped by at least 50% compared to the previous year;
Were not eligible for EI for that period;
Have not quit or reduced your hours voluntarily;
Were seeking work during the period; and
Have not turned down during the period you are applying for.

For full details, including eligibility requirements and application process, please visit this link: https://www.canada.ca/en/revenue-agency/services/benefits/recovery-benefit/crb-who-apply.html

Canada Recovery Sickness Benefit (CRSB)

The Canada Recovery Sickness Benefit (CRSB) provides income support to employed and self-employed individuals who may be sick with or recovering from COVID-19 for a maximum of two weeks at $500 per week.

Key eligibility requirements for CRSB include, but are not limited to, the following:

You are unable to work at least 50% of your scheduled work because you must self-isolate because you are either sick or may have COVID-19;
Have been advised to self-isolate because of COVID-19; OR
Have an underlying health condition that heightens your risk of contracting COVID-19.

For full details, including eligibility requirements and application process, please visit this link: https://www.canada.ca/en/revenue-agency/services/benefits/recovery-sickness-benefit/crsb-who-apply.html

Canada Recovery Caregiving Benefit (CRCB)

The Canada Recovery Caregiving Benefit (CRCB) provides income support to employed and self-employed Canadians who cannot work because they must care for their child under 12 years or a family member who needs supervised care.

Key eligibility requirements for CRCB include, but are not limited to, the following:

The child is home for the following reasons:

Their school, daycare, day program, or care facility is closed or unavailable to them and regular care services are not available because of COVID-19.

The family member under your care is:

Sick with or has symptoms of COVID-19
At risk of serious health complications if they get COVID-19, as advised by a medical professional; or
Self-isolating because of COVID-19; and
You are the only person applying for this benefit for the week.

In order to apply for the three benefits (i.e., CRB, CSRB, CRCB) listed above:

You must reside and be present in Canada during that period you’re applying for the support;
You must have a SIN, you’re at least 15 years of age, and you earned at least $5,000 in 2019, 2020, or in the 12 months before the date of application (employment income is gross and self-employment income is net); and
You cannot apply for more than one benefit during the same period.

Employment Insurance (EI)

Employment Insurance (EI) provides regular benefits to individuals who lose their jobs through no fault of their own (for example, shortage of work, seasonal or mass lay-offs) and are available for and able to work, but can't find a job. Always apply for EI benefits as soon as you stop working.

Key eligibility requirements for regular EI include, but are not limited to, the following:

**The following information is a guideline. We encourage you to apply for benefits so our processing agents can determine your eligibility.**

You were employed in insurable employment;
Lost your job through no fault of your own;
Have been without work and without pay for at least seven consecutive days in the last 52 weeks;
Have worked for the required number of insurable employment hours in the last 52 weeks or since the start of your last EI claim, whichever is shorter; Temporary COVID-19 relief
Are ready, willing and capable of working each day; and
Are actively looking for work (you must keep a written record of employers you contact, including when you contacted them).

**Changes to EI to support Canadians during COVID-19**

Beginning September 27, 2020, we implemented temporary changes to the EI program to help workers access EI regular benefits. The following changes will be in effect for 1 year:

A minimum unemployment rate of 13.1% applies to all regions across Canada starting August 9, 2020;
If your region’s unemployment rate is higher than 13.1%, we’ll use the higher actual rate to calculate your benefits;
You only need 120 insured hours to qualify for benefits because you’ll get a one-time credit of 300 insured hours to help you meet the required 420 insured hours of work
You’ll receive at least $500 per week before taxes but you could receive more; and
If you received the CERB, the 52-week period to accumulate insured hours will be extended

For full details, including eligibility requirements and application process, please visit this link: https://www.canada.ca/en/services/benefits/ei/ei-regular-benefit.html

Canada Emergency Wage Subsidy (CEWS)

The Canada Emergency Wage Subsidy (CEWS) provides qualifying employers with up to 75% of an employee’s wages, and it is in effect until March 13, 2021. The wage subsidy is intended to support employers to keep and re-hire their employees.

Key eligibility requirements for CEWS include, but are not limited to, the following:

Have had a CRA payroll account on March 15, 2020;
Eligible employers include, but are not limited to, individuals, corporations, registered charities, and partnerships consisting of eligible employers (Public institutions are not eligible for the subsidy.); and
Have experienced a decline in revenue (selling goods, rendering services, and others' use of your resources).

For full details, including eligibility requirements and application process, please visit this link: https://www.canada.ca/en/revenue-agency/services/subsidy/emergency-wage-subsidy/cews-who-apply.html#h-1

Canada Emergency Rent Subsidy (CERS)

The Canada Emergency Rent Subsidy (CERS) provides support for businesses, charities, and non-profits that have suffered a revenue drop because of COVID-19. CERS subsidizes a percentage of the entities expenses, on a sliding scale, up to a maximum of 65% of eligible expenses until June, 2021. Eligible businesses subject to a lockdown could receive rent support of up to 90 per cent.

Key eligibility requirements for CERS include, but are not limited to, the following:

Meet at least one of these conditions:

You had a CRA business number on September 27, 2020; or
You had a payroll account on March 15, 2020, or another person or partnership made payroll remittances on your behalf; or
You purchased the business assets of another person or partnership who meets condition b above, and have made an election under the special asset acquisition rules;
Are an eligible business, charity, or non-profit (eligible entity);
Experienced a decline revenue (the drop in revenue is calculated by comparing your eligible revenue during the reference period with your eligible revenue from a previous baseline period).

There is no minimum revenue drop required to qualify for the subsidy. The rate your revenue has dropped is only used to calculate how much subsidy you receive for these periods.

Canada Emergency Business Account (CEBA)

The Canada Emergency Business Account (CEBA) provides interest-free, partially forgivable, loans of up to $60,000, to small businesses and not-for-profits, that have experienced decreased revenues because of COVID-19, and face ongoing non-deferrable costs, such as rent, utilities, insurance, taxes and wages. Business owners can apply for support until March 31, 2021 through their banks and credit unions.

Key eligibility requirements for CEBA include, but are not limited to, the following:

Every applicant must meet the following criteria:

Has an active CRA Business Number (BN) with an effective date of registration on or prior to March 1, 2020;
Has an active business chequing/operating account with the Lender at the time of applying for CEBA. (If Borrower currently does not have a business chequing/operating account the Borrower must create one at their primary financial institution before applying for CEBA.);
Has not previously used the Canada Emergency Business Account Program (the “Program”) and will not apply for support under the Program at any other financial institution; and
Intends to continue to operate its business or to resume operations.

If you fall into the Payroll Stream and once you have completed the application with your financial institution, the Government of Canada will assess the application and inform your financial institution of the approval or decline of the loan. If approved, your financial institution will provide the funds into your business chequing/operating account.

If you fall into the Non-Deferrable Expenses Stream you must also meet the following criteria:

Have eligible non-deferrable expenses between Cdn. $40,000 and Cdn. $1,500,000. Eligible non-deferrable expenses could include costs such as rent, property taxes, utilities, and insurance. Expenses will be subject to verification and audit by the Government of Canada; and
Filed an income tax return with the CRA with a tax year ending in 2019 or, if its tax return for 2019 has not yet been submitted, 2018.

For full details, including eligibility requirements and application process, please visit this link: https://ceba-cuec.ca/

Regional Relief and Recovery Fund (RRRF)

The Regional Relief and Recovery Fund (RRRF) will provide over $1.5 billion to help more businesses and organizations in sectors such as manufacturing, technology, tourism, and others that are key to the regions and to local economies. This fund is specifically targeted to those that may require additional help to recover from the COVID-19 pandemic.

Key eligibility requirements for RRRF include, but are not limited to, the following:

A Canadian or provincially-incorporated business, co-operative, partnership or an Indigenous-owned business with 1 to 499 full-time equivalent employees; OR
Organizations, including social enterprises, that are engaged in commercial activities as a significant portion of operations (i.e., the exchanging of goods or services); OR
Chambers of commerce, business or sector associations and other economic development organizations that provide support to businesses.

That meet the following:

Located in southern Ontario;
Facing funding pressures with fixed operating costs, as a result of the COVID-19 pandemic;
Have applied to other Government of Canada COVID-19 relief measures for which they are eligible, as outlined in the program guidelines;
Were operational prior to March 15, 2020;
Are financially viable;
Plan to continue to operate or resume operations; and
Have an active business chequing/operating account.

For full details, including eligibility requirements and application process, please visit this link: https://www.feddevontario.gc.ca/eic/site/723.nsf/eng/h_02581.html?OpenDocument