During today's press conference, Prime Minister Trudeau provided further details on the Canada Emergency Wage Subsidy as well as additional changes to eligibility for individuals and employers.
What's New?
A new calculator has been launched on the Canada Revenue Agency website allowing businesses to determine what the wage subsidy will cover. Below are a few tips to assist with completing the calculation spreadsheet.
Don't forget to select the claim period on the first tab.
select the tab that corresponds to your pay period: weekly or bi-weekly
the reference to avg. gross weekly (bi-weekly) pay for Jan - March is to determine the pre-crisis wages for an employee. If the employee did not work during this time, enter $0.00
don't forget to answer yes/no to the question re. arms length as the spreadsheet will return a $0 wage subsidy if left blank.
the downloadable excel spreadsheet provides the figures to input into question C2 on the calculator hosted on the canada.ca on the bottom of the first tab.
April 27 application process will be open.
you may apply through your My Business Account with CRA or alternatively through a separate online application form.
Important: To apply, you will need to calculate the estimated subsidy (by using the calculator above) for your business and have that information available for your application.
Once an employer is approved for a specific period, they will automatically qualify for the next period of the program; Period 1 (March 15 - April 11), Period 2 (April 12 - May 9), Period 3 (May 10 - June 6). See below for an example of a golf course applying in Period 1.
Eligibility to qualify for period 1 is a reduction in gross revenues of 15%
Eligibility to qualify for period 2 and 3 is a reduction in gross revenues of 30%
Golf courses who qualify for eligibility in period 1 are automatically eligible for period 2 however the golf course would have to reapply for period 3.
If the golf course does not apply for period 1 but is eligible for period 2, they will automatically be eligible for period 3.
Eligible employees include any individual employed in Canada other than one who is without remuneration for 14 or more consecutive days in an eligibility period.
Ensures that an employer cannot claim a wage subsidy for the same period that an employee is eligible for the CERB.
More information to come on this clause and we will be monitoring closely and will provides an update once received.
Your Association continues to monitor the various Government announcements and will continue to keep you apprised of the latest developments.
Please do not hesitate to contact us at ngcoa@ngcoa.ca should you have any questions.
